HomeMy WebLinkAbout94-01773
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COMMONWEAL TH OF PENNSYLVANIA
COURT OF COMMON PLEAS
Cumberland County
JUDICIAL DISTRICT
NOTICE OF APPEAL
FROM
9th Judicial District
DISTRICT JUSTICE JUDGMENT
COMMON PLEAS No, 94-1773 CIVIL TERM
NOTICE OF APPEAL
Notice IS given that the dlJpellallt has flied in the ahove Courl o' Common Pleas an dppcal horn the ;udgl1H!r1I rendered hV the District Justice
on the date and in the casu ml!ntioned below.
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LEW MARCUS/ONE POINT FIVE PUBLISH.
MA.. a..... "-0:-0;' ........ D~ D.~.
ADO.... 0.. "'........."'..T
09-3-05
611 Monroe Ave.
CITT
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D"'T. 0.. IUDO.....T .N T". CA'. D" ..,..., ...
Scranton
PA
18510
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3-18-!!4 .c... FRY COMMUNICATIONS INC.
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CV 19 CV-0000041-94
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This block will IJc signed ONLY when this nolahan is required
R,C.P.J,P, No, 1008B,
This Notice of AfJpcal. when received hV 1hl! DisHict Juslice, Will ap'Jratc as
a SUPERSEDEAS 10 the jUdgment for posseSSIon in (his case,
w.. LEW NARCUS/ONE POINT FI'JE PUBLISH.
If apl,ellalll was
lsee Pa. R. C.P.J.P.
S'!JnoJw,e 0' P'OlhonOI.JrY 01 DepUI'I
No. 1001161 I;' iJClioll before Dislricl JI/slice, he
MUST FILE A COMPLAINT wilhill lwellly 120)
elays afler filillg his NOTICE of APPEAL.
PRAECIPE TO ENTER RULE TO FILE COMPLAINT AND RULE TO FILE
IThis seC/101I of forl1l 10 he ".eel ONL Y whell appellalll was DEFENDANT Isee Pa, R.C.P.J.P. No. IOO/(l} in aclioll before DislriCI Juslice.
IF NOT USED, rlelach frol1l copy of 1I0lice 01 appeal 10 be ""rveell/polI appelleel.
Date:
13/ The date of servIce of this rule if service was bV maillS the date of mailing.
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PRAECIPE: To Prothonotarv
Elller rule unon FRY COMMUNICATIONS INC.
NrJme of oJPPt!IIel1fsJ
. appelleelsl, to file a complaint in this appeal
(Common Pleas No. eV-999994 }o-~4 within twelllV (20) davs after service of rul. or sulfer entrv of ju gment of non pros.
94-1773 CIVIL TERM ~ .
RULE: To FRY COMMUNICATIONS INC. . appelleelsl
Name of rJPpel/fff!(d
(11 You are notified that d rule is her.bv entered upon vou to file a complaint in this appeal within twenty 120/ davs after the date of
service of 1his rule upon you by personal service or by certified or registered mail.
(2) II vou do not fil. a complaint within this time, a JUDGMENT OF NON PROS WI LL BE ENTERED AGAINST YOU.
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OF SERVICE OF NOTICE OF APPEAL AND RULE TO FIl.E COMPLAINT
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COMMONWLAL11t OF I'l:NNSYlVANIA
COUNTY OF<______
AFFIDAVIT:
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I'RY COMMUNICATIONS, INC., } IN THB COURT 01' COMMON PLEAS
} CUMBBRLAHD COUNTY, PBNNSYLVUIA
Plaintiff, }
}
v. } NO. 94-CIV-1773
}
ONB POINT I'IVB PUBLISHING CO., INC} CIVIL ACTION
}
Defendant. }
}
TO THE PROTHONOTARY:
PRABCIPB POR ARGUMENT LIST
Please place the Preliminary Objection of defendant One
Point Five Publishing Co., Inc. on the Argument List.
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Robert A. Swift
I.D. No. 17766
KOHN, NAST & GRAF, P.C.
suite 2400
1101 Market Street
Philadelphia, PA 19107
(215)238-1700
.....
Attorneys for Plaintiff
Fry Communications, Inc.
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FRY COMMUNICATIONS, INC., : IN THE COURT OF COMMON PLEAS OF
Plaintiff : CUMBERLAND COUNTY, PENNSYLVANIA
V. CIVIL ACTION - LAW
ONE POINT FIVE PUBLISHING
COMPANY, INC., 94-1773 CIVIL TERM
Defendant
RE' DEFENDA
.!!o.fore SI:IEEL Y. ~OFFER, J. and OLER, J.
RDER F R
~ 1995, after careful consideration of the
AND NOW,
parties I briefs and oral arguments, the defendant's preliminary objection to venue
Is denIed and dIsmIssed.
By the Court,
J.
Robert A. Swift, Esquire
Suite 2400
1101 Market Street
Philadelphia, PA 19107
For the Plaintiff
Theodore A. Adler, Esquire
2331 Market Street
Camp Hili, PA 17011-4642
For the Plaintiff
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Eugene F. Hickey II
400 Spruce Street, Suite 500
Scranton, PA 18503
For the Defendant
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FRY COMMUNICATIONS, INC.,
Plaintiff
: IN THE COURT OF COMMON PLEAS OF
: CUMBERLAND COUNTY, PENNSYLVANIA
CIVIL ACTION. LAW
V.
ONE POINT FIVE PUBLISHING
COMPANY, INC.,
Defendant
94.1773 CIVIL TERM
IN RE: DEFENDANTllRELIMINARY OQ."lEQT.Km TO VEt:BlE
kfore SttEEL Y. ~OFFER, ,J. and OLER. J.
OPINION
HOFFER, J.:
This case Is before the Court for disposition of a preliminary objection
to venue flied by the defendant. One Point Five Publishing Company. When this
preliminary objection was originally filed, this Court determined that controverted
facts arising from the complaint and the preliminary objection required the taking
of additional evidence In the form of deposition testimony. As the parties have flied
these depositions with the Court, this preliminary objection Is ripe for determination.
The facts In this case may be summarized as follows: The plaintiff is
a Pennsylvania corporation having Its place of business at 800 West Church Road,
Mechanicsburg, Cumberland County, Pennsylvania. (Complaint '111.) Defendant
Is Pennsylvania corporation having Its place of business at 611 Monroe Street.
Scranton. Lackawanna County, Pennsylvania. (Complaint 'II 2.)
On August 16, 1993, the plaintiff faxed to the defendant a 'proposal"
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94-1773 CIVIL TERM
which Indicated that the plaintiff would furnish various printing services to the
defendant for the publication of a magazine. (Deposition of Mary L. Roberts at 12.)
Page 1 of the proposal Included a notation indicating that the "terms" of the
agreement were to be determined upon the completion of a credit check to be
performed by the plaintiff. (lQ. at 14.) It was the policy of the plaintiff not to
commence any work project until each customer had supplied satisfactory credit
Information. (lQ.) Page 2 of the document, however, set forth a detailed listing of
"terms and conditions." (lQ. at Plaintiff's Exhibit e.) This terms and conditions
section addressed such Issues as: payment, production, quality of work, storage,
title to printed materials, Indemnity of the printer, and the procedure to be followed
In subsequent printing jobs between the two parties. (lQ.) In addition, this
document contained a force ~ clause exonerating the printer for non-
performance resulting from. among other things, wars, floods. riots. and
Insurrections. (lQ.) The document limited printer warranties to those set forth
within the writing and contained a merger clause which indicated that the "contract"
contained the entire agreement, which could not be modified except in specifically
enumerated circumstances. (lQ.)
The document was signed by Lew Marcus on October 1 e, 1993. on
behalf of the defendant. (Deposition of Mary L. Roberts at 11.) Marcus then faxed
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94-1773 CIVIL TERM
this document back to the plaintiff, who signed the contract on November 17, 1993.
(ll;t. at 14.) Plaintiff's performance of the contract took place entirely in Cumberland
County, and payments for work performed In conjunction with the contract were
mailed from the defendant's offices In Lackawanna County to the plaintiff's offices
in Cumberland County. (lQ. at 17, 20.)
Subsequent to the execution of the contract, a dispute arose between
the parties with regard to the financing arrangements for printing services. (lQ. at
24.) Over the course of this dispute, the parties exchanged several phone calls,
faxes and letters. (Deposition of Mary L. Roberts, Plaintiff's Exhibits 14-21.) The
record before the court Indicates that these communications were Initiated by both
parties at different times throughout the attempt at resolution. (J.Q.) When the
parties were ultimately unable to resolve the dispute, the plaintiff faxed a letter to
the defendant's offices Indicating that resolution was unlikely, and instructing the
defendant to make arrangements to pick up materials (which had been stored with
the plaintiff), (Deposition of Mary L. Roberts, Plaintiff's Exhibit 21.) The plaintiff's
answer to the defendant's preliminary objection indicates that 'the defendant's
officer came to the plaintiff's place of business In Cumberland County in connection
with the performance of the agreement and to pick up . . . materials that were
stored at . . . [plaintiff's] place of business. (Answer to Preliminary Objections and
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94.1n3 CIVIL TERM
new Matter 1110.)
The plaintiff has flied suit alleging that the defendant breached the
contract between the parties by failing to make payments for printing services.
(Complaint at 11 4.) The defendant has responded with a preliminary objection
asserting that venue Is Improper In Cumberland County. We address this
preliminary obJection.
Plscuss\Qn
With regard to the Issue of whether venue properly lies with this Court,
Pa.R.C.P. 2179 provides:
an action against a corporation . . .
may be brought In and only In
(1) the county where its registered
office or principal place of business
Is located;
(2) a county where it regularly conducts
business;
(3) the county where the cause of action
arose; or
(4) a county where a transaction or
occurrence took place out of which the
cause of action arose.
Pa.R.C.P.2719.
As the plaintiff Is attempting to establish venue In Cumberland County, and the
defendant's principal place of business Is In Lackawanna County, venue may not
be established under Pa.R.C.P. 2179(a)(1).
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94-1773 CIVIL TERM
With regard to Pa.R.C.P. 2179(a)(2) we note that "rule 2179(a)(2)
provides for venue In counties where a corporation Is present by reason of its
business activities and contracts." 6 Goodrich Amram 2d ~2710(a)(2), 1992.
Normally, merely entering Into a contract with a firm In another county Is not
sufficient to establish a regular course of business In the foreign county. Qml9Jl,.
J. W. ~Ie & Sons, 395 Pa. 129, 149 A.2d 35 (1959).1 Viewing the record
before us In light of these standards, we find that the defendant Is not regularly
conducting business In Cumberland County. The defendant has entered Into a
single contract with a Cumberland County firm, and this Isolated contractual
relationship Is not a sufficient basis for establishing venue under Pa.R.C.P.
2179(a)(2).
In evaluating the applicability of Pa.R.C.P. 2179(a)(3) (establishing
venue In the county where the cause of action arose), we note that "In a contract
action, a cause of action arises, for purposes of establishing venue under Rule
2179(a)93), In the county where the breach occurs." 6 Goodrich Abram 2d
~2179(a)(9) (1992).
1Although entering into a single contract does not constitute the regular conducting
of business, for purposes of establishing venue, a ten year exclusive contract Is suffIcIent
to satisfy the requirements of the rule. Burdette Oxyaen Co. v. I.R. Wolfe & Sons. Inc.,
433 Pa. 291, 249 A.2d 299 (1969).
5
In the case before us, both of the parties contend that they accepted
the contract. The plaintiff apparently asserts that Its original fax transmission to the
defendant was a "proposal" and not an offer. After consideration of the document
in question, however, we are unable to accept this conclusion. "An offer is a
manifestation of willingness to enter Into a bargain so as to justify another person
In understanding that his assent to the bargain Is invited and will conclude It."
94.1773 CIVIL TERM
At this stage of the proceedings, the record before the court does not
cleariy disclose the county In which the breach occurred. We find It unnecessary
to resolve this Issue, however, because we believe that venue In this county Is
proper under Rule 2179(a)(4).
Under Pa.R.C.P. 2179(a)(4) "venue in an action against a corporation
Is proper In the county where a transaction or occurrence takes place from which
the cause of action arises." Goodrich Abram 2d ~2179(a)910) (1992). In cases
Involving contracts, the word "transaction" is limited to the county where the
contract was made. 21 Standard Pa. Practice 2d ~113.46 (1984). In defining "the
county In which a contract Is made," the Pennsylvania Supreme Court has held
that "the place of making a contract Is not where the offer is made but where It is
accepted." Craig v. W.J. TlJjele & Sons. Inc., 395 Pa. 129, 133, 149 A.2d 35, 37
(1959).
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94-1773 CIVIL TERM
6erQoulit Co. v. Sunroc COI'P., 777 F. Supp. 1236 (ED Pa. 1991).
In this case, the plaintiff faxed to the defendant a document covering
various terms and conditions of the relationship between the parties. The
document was detailed and contained traditional contractual language. In light of
these facts, we are satisfied that the "proposal" was, effectively, an offer, which
offer was accepted In Lackawanna County. Because acceptance occurred In
another county, the creation of this contract Is not a transaction which will establish
venue in Cumberland County.
In addition to asserting that acceptance of the contract was a
"transaction" establishing venue, the plaintiff contends that venue exists In this
county because the plaintiffs performance occurred In Cumberland County and
because the defendant failed to make payment to the plaintiff In Cumberland
County. We find these arguments to be persuasive.
Although the placing of an order pursuant to a contract Is not an
occurrence which will establish venue in the receiving county, Craig, 395 Pa.
Superior Ct. at 132-133, 149 A.2d at 37t venue may rest in a county in which a
defendant corporation has ordered merchandise from the plaintiff and In which It
is required to make payment for such merchandise. pentex Foundry COrD v. Repa
,Products COrD., 26 Lawrence LJ 356 (1979). In addition, we note that this court
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94-1773 CIVIL TERM
has held that failure of a defendant to make a payment required to be made In
another county Is an occurrence establishing venue,
I 21 Cumberland W 34 (1971).
Reviewing the facts of the case before us In light of these standards,
we find that the plaintiff performed Its portion of the contract In Cumberland County,
and the defendant failed to make payments to the plaintiff In Cumberland County.
Accordingly, we find that venue Is proper In this county, and dismiss the
defendant's preliminary objection.
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FRY COHMUNICATJONS, INC.,
TN TilE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
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CIVIL ACTION-LAW
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ONE POI NT FIVE PUf3I.T SIlt NG
CmIPANY, INC.,
Defendant NO. 94-CTVIL-1773
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NOTICE
YOU ARE HEREBY NOTIFIED TO REPLY TO THE ENCLOSED PRELHIINARY
OBJECTIONS WITIIIN TNENTY (20) nAYS OR A JUDGMENT MAY BE ENTERED
AGAINST YOU,
G ~d. IJ.-~;;
EUGENE F. IIICKEY II
ttorney for Defendant
Mellon Bank nld9.. Suite 500
400 Spruce Street
Scranton, PA 18503
Phone: (717) 341-3150
FAX: (717) 341-3155
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FRY COMMUNICATIONS, HlC.,
Plaintiff
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
VB.
CIVIL ACTION - LAW
ONE POINT FIVE PUBLISHING
COMPANY I INC. I :
.
.
Defendant : NO. 94-CIVIL-1773
* * * * * * * * * * * * * * * * * * * * *
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DEFENDANT'S PRELIMINARY OBJECTIONS
AND NOW comes the Defendant, One Point Five Publishing
Company, Inc., by and through its counsel, Schneider, Gelb, Goffer
& Hickey, P. C., and files the wi thin preliminary Objections to
Plaintiff's Complaint a.verring as follows:
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1. The within action was believed to be filed by the
Plaintiff, Fry Communica.tions, Inc., hereinafter referred to as
Fry, on or about April 26, 1994.
2. The Complaint alleges two Counts: ( 1) Breach of
Contract 1 and (2) Account Stated. The Complaint is based upon a
written agreement between the parties dated October 18, 1993.
3. All negotiations concerning the contract took place
in and around Lackawanna County, Pennsylvania.
4. All transactions and/or series of transactions
necessary for the creation and performance of a contract occurred
or did occur in and around Lackawanna County, Pennsylvania.
5. Plaintiff has commenced this action in the Court of
Common Pleas of Cumberland County and said venue is improper.
WHERE~"ORE, the Defendant respectfully requests this
Honorable Court to dismiss Plaintiff's Complaint or, in the
alternative, to transfer the matter to the Court of Common Pleas of
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LackawannQ County.
SCHNEIDER, GELB, GOFFER
& HICKEY, P.C.
By:
Eugen
Atto eys for Def
One Point Five
Company, Inc.
re
400 Spruce Street
Mellon Bank Building
Suite 500
Scranton, PA
Phone: (717)
Fax: (717)
18503
341-3150
341-3155
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)
) IN THE COURT OF COMMON PLEAS
) CUMBERLAND COUNTY, PENNSYLVANIA
)
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) NO. 94-CIV-1773
)
)
) CIVIL ACTION
)
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)
FRY COMMUNICATIONS, INC.,
Plaintiff
v.
ONE POINT FIVE PUBLISHING
CO., INC.,
PLAINTIPPIS NOTICB OP DEPOSITIONS
AND REOUEST POR PRODUCTION OP DOCUMENTS
TO: Eugene F. HiCkey, Esquire
Schneider, Gelb & Hickey, P.C.
400 Spruce Street
suite 500
Scranton, PA 18503
PLEASE TAKE NOTICE that, pursuant to Pa. R.C.P. Rule 209
and the Order of the Court of Common Pleas, Plaintiff will take the
depositions of the following persons at the offices of Reager &
Adler, P.C., 2331 Market street, Camp Hill, Pennsylvania,
commencing on January 25, 1995, at 2:00 p.m. before a certified
court stenographer:
Mary Roberts, Fry Communications, Inc.
Ken Arnovitz, One Point Five Publishing
Plaintiff requests that the Defendant and Mr. Arnovitz
produce the documents listed below at the above depositions.
1. All contracts and agreements between Plaintiff and
Defendant.
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2. All cOl1llDunications between plaintiff and Defendant,
including correspondence, notes of telephone cOl1llDunications and
facsimiles.
3. All documents reflecting or memorializing trips
taken by Defendant's officers, partners, agents or employees'to
Cumberland County, including trip reports and reimbursement of
expenses.
4.
All
accounting
records
reflecting
business
transactions between Plaintiff and Defendant.
5. All documents which reflect or relate to the quality
or performance of the work performed for Defendant by Plaintiff.
6. All documents which record, reflect or relate to
Defendant's reasons for not paying Plaintiff for work performed by
Plaintiff for Defendant.
7.
All records Showing the legal
and
current legal status (i.e. as a corporation,
Defendant.
of
ROBERT A. SWIFT
1.0. No. 17766
KOHN, NAST & GRAF, P.C.
suite 2400
1101 Market Street
Philadelphia, PA 19107
(215) 238-1700
THEODORE A. ADLER
1.0 No. 16267
REAGER & ADLER, P.C.
2331 Market street
Camp Hill, PA 17011-4642
(717) 763-1383
Dated: January 18. 1995
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COMMONWEAL TH OF PENNSVLV/lNIA
COURT OF CO ON PLEAS
Cumberland County
JUDICIAL DISTRICT
C 9th Judicial District
NOTICE OF APPEAL
FIlOM
DISTRICT JUSTICE JUDGMENT
COMMON PLEAS No, 94-1773 CIVIL TERM
NOTICE OF APPEAL
Notlel' 1\ IJIVI!1l IhJt lhl' ""pell'lnt has tlll!tJ In Ilw &Ihow CmJlI of COI11l11on Ple.ls an alllll!..1 frum tlw ju<lgl11l!fH ,rudc'l'd hy the Di\lriCI Justicl!
on thl' .lall' and .n fhe C:J~l' nWflllOl1l'd ht~low.
LEW r.1ARCUS/ONE POINT FIVE PU13LISU.
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;..r.EW'MARCUS/ONEPOIN'l'
3-18-94
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CV 19 CV-0000041-94
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If appella'" W;lS Clai,i/JI'I I...." Pa, R.C.P,J.P.
No. IOO1f6/ in .Iction lJl!fore District Justice, Ire
MUST FILE A COMPLAINT willlill rwemy (20)
rlays a(I", filillg llis NOTICE of APPEAL.
S'!lnilfurt> ot P'OfhUllur"ry or Ot>pury
PRAECIPE TO ENTER RULE TO FILE COMPLAINT AND' RULE TO FILE
(TillS seclioll of fom, 10 "" llserl ONL Y wll,," ."",,,11;/111 was DEFENDANT (s"" Pa. R.C.P.J.P. No. 1001(7) ill iJClioll before Dislricl JIISlic".
IF NOT USED, c/(!tiJch from copy of notice of IIp/wal to be scrllcHI upon ..",pe/lt.'e/.
PRAECIPE: To Prothonotary
Ente, rule upon FRY COMlo1UNICATIONS INC.
" N"me ot dppel1t',dsJ
, a,lpelleebl. to file a com"laint in this al1peal
ICommon PI"a, Nt), ev-ltlt<lt"'l-~'"
94-1773 CIVIL TERM
wlthm twenty (201 days after service of rule or suffer entry of judgment of non pros.
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RULE~ To FRY .COIo1MUNICATIO!lS INC.
Name ot oJppellet'(sJ
service
(1 ~ You art! notifIed thitt d rull~ IS herehy entered UPOI1 you to fill' a complalf1t in this appeal within hventy (20) ;dav...af,tV! t~e datc of
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Scranton, Lackawanna Co.
My",,,,,,,. 'Ny ColTlmfsslon ExpIres Aug. 22. ~994 .
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TO TilE PROTIIONOTARY/OF CUMUERLAND COUNTY:
Please list the within mailer for the next:
o Pre.Trlal Argument Court
~ Argument Court
No. 94
Civil
1773'
19_
----------------------------------------------------------------------
CAPTION OF CASE
(entire caption must be stated In full)
FRY COMMUNICATIONS, INC.,
(Plaintiff)
vs.
ONE POINT FIVE PUBLISHING
CO., INC.,
(Defendant)
vs.
I. State mailer to be argued (I. e., plalntlfrs motion for new trial,
defendant's demurrer to complaint, etc.):
Defendant's Preliminary Objections
2. Identify counsel who wll\ argue case:
(a) for plaintiff:
(b) for defendant:
Robert A. ~wift, Esq., Kohn, Nast & Graf, PC
Theodore A. Adler, Esq., Reager & Adler, PC
Eugene F. Hickey, II, Esquire
Schneider. Gelb. Goffer & Hickey, P.C.
3. I wUl notify all parties in writing within two days that this case has been
listed for argument._
$;;~
(Allorney for Plaintiff )
Theodore A. Adler
Dated: February 10, 1995
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FRY COMMUNICATIONS, INC.,
Plaintiff
}
} IN THE COURT OF COMMON PLEAS
} CUMBERLAND COUNTY, PENNSYLVANIA
}
}
} NO. 94-CIV-1773
}
}
} CIVIL ACTION
}
}
}
v.
ONE POINT FIVE PUBLISHING
CO., INC.,
Defendant
PRAECIPE
Please enter the appearance of Thomas O. Williams, Esquire,
and Theodore A. Adler, Esquire, of Reager & Adler, P.C., 2331
Market street, Camp Hill, PA 17011-4642, on behalf of the above-
captioned Plaintiff.
.,
, ;
THOMAS O. WILLIAMS
I.D. No. 67987
THEODORE A. ADLER
I. D No. 16267
REAGER & ADLER, P.C.
2331 Market street
Camp Hill, PA 17011-4642
(717) 763-1383
ROBERT A. SWIFT
I.D. No. 17766
KOHN, NAST & GRAF, P.C.
suite 2400
1101 Market street
Philadelphia, PA 19107
(215) 238-1700
Attorneys for Plaintiff
Dated: January 18, 1995
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CBRTIPICATB OP SBRVICB
AND NOW, this 18th day of January, 1995, I hereby verify that
I have caused a true and correct copy of the foreqoinq document to
be placed in the U.S. mail, first class, postaqe prepaid and
addressed to Defendant's counsel, as follows:
Euqene F. Hickey, Esquire
Schneider, Gelb & Hickey, P.C.
400 Spruce Street
suite 500
Scranton, PA 18503
THOMAS O. WILLIAMS
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FRY COMMUNICATIONS, INC.,
plaintiff
IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
CIVIL ACTION - LAW
I
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v.
.
.
ONE POINT FIVE PUBLISHING
CO., INC.,
Defendant
I
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.
.
NO. 94-1773 CIVIL TERM
.
.
IN RE: DEFENDANT'S PRELIMINARY OBJECTION TO VENUE
BEFORE SHEELY. P.J.. BAYLEY and OLER. JJ.
ORDER OF COURT
I Z tt. day of December, 1994, upon careful
AND NOW, this
consideration of Defendant's preliminary objection regarding venue,
as well as the briefs presented on the matter, the parties are
DIRECTED to proceed by depositions to provide a record upon which
the matter may be determined.
UPON the filing of such depositions, counsel are requested to
notify the Court that a record has been made for purposes of
disposition of Defendant's preliminary objection.
BY THE COURT,
Robert A. Swift, Esq.
Suite 2400
1101 Market Street
Philadelphia, PA 19107
Attorney for Plaintiff
Eugene F. Hickey, II, Esq.
400 Spruce Street
Mellon Bank Building
Suite 500
Scranton, PA 18503
Attorney for Defendant
- .....
PEe I Z iU ~~ tlH '94
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FRY COMMUNICATIONS, INC.,
Plaintiff
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IN THE COURT OF COMMON PLEAS OF
CUMBERLAND COUNTY, PENNSYLVANIA
CIVIL ACTION - LAW
v.
ONE POINT FIVE PUBLISHING
CO., INC.,
Defendant
.
.
NO. 94-1773 CIVIL TERM
IN REI DEFENDANT'S PRELIMINARY OBJECTION TO VENUE
BEFORE SHEELY. P.J.. BAYLEY and OLER. JJ.
OPINION and ORDER OF COURT
Oler, J.
This case is presently before the court for disposition of a
preliminary objection challenging venue filed by One Point Five
Publishing Co., Inc. (Defendant) in response to a complaint filed
by Fry Communications, Inc. (Plaintiff). For the reasons set forth
in this Opinion, the parties will be directed to proceed by
deposition to make a record upon which the issue can be determined.
STATEMENT OF FACTS
The facts, as set forth in Plaintiff's complaint, may be
summarized as follows I Plaintiff is a Pennsylvania corporation
having a place of business at 800 West Church Road, Mechanicsburg,
Cumberland County, pennsylvania.1 Plaintiff is in the business of
commercial printing" Defendant is a Pennsylvania corporation with
a place of business at 611 Monroe Street, Scranton, Lackawanna
County, Pennsylvania.] Defendant is in the business of publishing
1
Plaintiff's Complaint, paragraph 1.
Plaintiff's Complaint, paragraph 1.
Plaintiff's Complaint, paragraph 2.
3
]
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'''''_!it",;
NO. 94-1773 CIVIL TERM
a certain magazine..
On or about November 17, 1993, Plaintiff and Defendant
"entered into an agreement ... whereby [Plaintiff] agreed to
furnish printing services to [Defendant] for agreed upon
consideration."s [Plaintiff] fully performed its printing
services, but [Defendant] failed to make full payment of the agreed
upon consideration.' " Despite request for payment [Defendant] has
failed and refused to pay [Plaintiff] the balance due for the
printing services rendered by [Plaintiff]."7
In Count I of its complaint, Plaintiff avers that such conduct
on the part of Defendant constituted a breach of contract." In
this regard, Plaintiff demands damages in the amount of $6,042.04.'
In Count II of its complaint, Plaintiff avers that Defendant's
"indebtedness constitutes an account stated for which [Defendant]
is liable to [Plaintiff] ."10 In this regard, judgment in the same
amount is demanded."
. Plaintiff's Complaint, paragraph 2.
S Plaintiff's Complaint, paragraph 3.
. Plaintiff's Complaint, paragraph 4.
7 Plaintiff's Complaint, paragraph 6.
" Plaintiff's Complaint, paragraph 7.
, Plaintiff's Complaint, paragraph 7.
10 Plaintiff's Complaint, paragraph 12.
" Plaintiff's Complaint, demand clause.
2
,'.-....,
~~,,.
NO. 94-1773 CIVIL TERM
In response to Plaintiff's complaint, Defendant filed a
preliminary objection. In it, Defendant states the following:
All negotiations concerning the contract took
place in and around Lackawanna County,
Pennsylvania.12 All transactions and/or series
of transactions necessary for the creation and
performance of a contract occurred or did
occur in and around Lackawanna County,
pennsylvania.13 Plaintiff has commenced this
action in the Court of Common Pleas of
Cumberland County and said venue is improper. It
In response to Defendant's preliminary objection, Plaintiff
filed an Answer and New Matter to Defendant's Preliminary
Objections. In the Answer portion, Plaintiff states the following:
The negotiations took place in both Cumberland
County and Lackawanna County... .15 [T]he
contract was accepted by Fry in Cumberland
County and Fry' s rerformance took place in
Cumberland County.1
In the New Matter portion, Plaintiff states the following:
Pursuant to Rule 2179 of the Pennsylvania
Rules of Civil Procedure, where a corporation
is a defendant venue is proper in the county
where the cause of action arose or where a
transaction or occurrence took place out of
which the cause of action arose.17 The
printing services furnished by Fry occurred
entirely in Cumberland County where Fry has
12 Defendant.s Preliminary Objections, paragraph 3.
13 Defendant.s Preliminary Objections, paragraph 4.
It Defendant.s Preliminary Objections, paragraph 5.
15 Plaintiff's Answer and New Matter to Defendant's
Preliminary Objections, paragraph 3.
u Plaintiff's Answer and New Matter to Defendant's
Preliminary Objections, paragraph 3.
17 Plaintiff's Answer and New Matter to Defendant's
Preliminary Objections, paragraph 6.
3
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NO. 94-1773 CIVIL TERM
its printing plant.11 Payment to Fry for its
services was to have been made by defendant in
Cumberland County.1t During the course of the
agreement Fry stored materials for defendant
in Cumberland County. 20 Defendant's officer
came to Fry's place of business in Cumberland
County in connection with the performance of
the agreement and to pick up defendant's
materials that were stored at Fry's place of
business.21
STATEMENT OF LAW
On the issue of whether venue properly lies in a court,
Pennsylvania Rule of Civil Procedure 2179(a) provides that an
action against a corporation
brought in and only in
(1) the county where its registered office or
principal place of business is located;
. . .
may be
(2) a county where it regularly conducts
business;
( 3 ) the county where the cause of action
arose; or
(4) a county where a transaction or occurrence
took place out of which the cause of action
arose.
Additionally, Pennsylvania Rule of civil Procedure 1028(a) (1)
II Plaintiff's Answer and New Matter to Defendant's
Preliminary Objections, paragraph 7.
19 Plaintiff's Answer and New Matter to Defendant's
Preliminary Objections, paragraph 8.
20 Plaintiff's Answer and New Matter to Defendant's
Preliminary Objections, paragraph 9.
21 Plaintiff's Answer and New Matter to Defendant's
Preliminary Objections, paragraph 10.
4
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NO. 94-1773 CIVIL TERM
provides for the filing of a preliminary objection challenging the
venue of an action. However, Rule 1028(c)(2) provides that, U[i]f
an issue of fact is raised, the court shall consider evidence by
deposition or otherwise." Additionally, the Rules Committee Note
following this rule states that U[p]reliminary objections raising
an issue under (a) (1) ... cannot be determined from facts of
record. U
In this regard, the Superior Court of Pennsylvania has
observed that, U [f] requently, objections contained in the
preliminary objection are apparent on [the] face of the record and
will be readily determinable by the court without going outside the
pleadings .... On the other hand, certain issues embraced in the
preliminary objections will frequently be resolved only by the
presentation of facts outside the record .... U Telstar Corp. v.
Berman, 281 Pa. Super. 443, 448, 422 A.2d 551, 554 (1980).
When faced with controverted facts, "ra] court may not reach
a determination based upon its view of the controverted facts, but
must resolve the dispute by receiving evidence thereon. U 3
Goodrich Amram 2d S1028(c) :4, at 50 (1991) .22 Additionally, U[t]he
failure of the parties to an action to provide the evidence
22 See also Schmitt v. Seaspray-Sharkline, Inc., 366 Pa.
Super. 528, 532, 531 A.2d 801, 803 (1987) (holding that, when a
court is faced with controverted facts when addressing a
preliminary objection challenging personal jurisdiction, it Umust
resolve the dispute by receiving evidence thereon through
interrogatories, depositions, or an evidentiary hearingU) (emphasis
added) .
5
c.
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NO. 94-1773 CIVIL TERM
necessary for a proper determination of a factual issue raised by
a preliminary objection does not excuse a court from further
inquiry, ..23 and a court would be in error if it were to rule on such
a preliminary objection without receiving additional evidence.
Telstar Corp. v. Berman, 281 Pa. Super. 443, 448, 422 A.2d 551, 554
(1980).
APPLICATION OF LAW TO FACTS
with reference to Defendant's assertion that venue does not
properly lie in this court, we believe that the current state of
the record does not permit an informed determination on the issue.
Since there are controverted facts as to wheth~r_a_~~an~actio~r_
occurrence out of which the cause of action arose occurred in
Cumberland County, we find it necessary to require a more complete
factual record prior to disposition of Defendant's preliminary
objection.
For the foregoing reasons, the following Order will be
entered:
AND NOW, this
ORDER OF COURT
121 ~ day of December, 1994, upon careful
consideration of Defendant. s preliminary objection regarding venue,
as well as the briefs presented on the matter, the parties are
DIRECTED to proceed by depositions to provide a record upon which
the matter may be determined.
23
3 Goodrich Amram 2d Sl028(c):4, at 51 (1991).
6
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NO. 94-1773 CIVIL TERM
UPON the filing of such depositions, counsel are requested to
notify the Court that a record has been made for purposes of
disposition of Defendant's preliminary objection.
BY THE COURT,
sl J. Wesley Oler. Jr.
J. Wesley Oler, Jr., J.
Robert A. Swift, Esq.
Suite 2400
1101 Market Street
Philadelphia, PA 19107
Attorney for Plaintiff
Eugene F. Hickey, II, Esq.
400 Spruce Street
Mellon Bank Building
Suite 500
Scranton, PA 18503
Attorney for Defendant
:rc
7
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}
FRY COMMUNICATIONS, INC., } IN THE COURT OF COMMON PLEAS
} CUMBERLAND COUN'l'Y, PENNSYLVANIA
plaintiff, }
}
v. } NO. 94-CIV-1773
}
ONE POINT FIVE PUBLISHING CO., INC} CIVIL ACTION
}
Defendant. }
}
NOTICE TO DEFEND
You have been sued in court.
If you wish to defend
against the claims set forth in the following pages, you must take
action within twenty (20) days after this complaint and Notice are
served, by entering a written appearance personally or by attorney
and filing in writing with the court your defenses or objections to
the claims set forth against you. You are warned that if you fail
to do so, the case may proceed without you and a judgment may be
entered against you by the court without further notice for any
money claimed in the Complaint, or for any other claim or relief
requested by the plaintiff.
You may lose money or property or
other rights important to you.
YOU SHOULD TAKE THIS PAPER TO YOUR LAWYER AT ONCE.
IF YOU DO NOT HAVE A LAWYER OR CANNOT AFFORD ONE, GO TO
Court Administrator
4th Floor
Cumberland County Courthouse
One Courthouse square
Carlisle, PA 17013
(717) 240-620
.
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Robert A. Swift
1.0. No. 17766
KOHN, NAST & GRAF, P.C.
suite 2400
1101 Market street
Philadelphia, PA 19107
(215)238-1700
Attorneys for Plaintiff
Fry Communications, Inc.
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}
FRY COMMUNICATIONS, INC., } IN THE COURT OF COMMON PLEAS
} CUMBERLAND COUNTY, PENNSYLVANIA
Plaintiff, }
}
v. } NO. 94-CIV-1773
}
ONE POINT FIVE PUBLISHING CO., INC} CIVIL ACTION
}
Defendant. }
}
CIVIL ACTION COMPLAINT
FIRST COUNT - BREACH OF CONTRACT
to Plaintiff, Fry Communications, Inc. ("Fry") is a
corporation organized and existing under the law of the
Commonwealth of Pennsylvania with a place of business at 800 West
Church Road, Mechanicsburg, Pennsylvania 17055.
commercial printer
2. Defendant, One Point Five Publishing Co., Inc.
Fry is a
("OPFP") is a corporation organized and existing under the law of
the Commonwealth of Pennsylvania with a place of business at 611
Monroe street, Scranton, Pennsylvania 19510.
business of publishing "Insalco's Magazine".
OPFP is in the
3. On or about November 17, 1993 Fry and OPFP entered
into an agreement, a true and correct copy of which is attached
hereto as Exhibit "A", whereby Fry agreed to furnish printing
services to OPFP for agreed upon consideration.
4. Fry fully performed its printing services, but OPFP
only made partial payment to Fry of the agreed upon consideration.
5. After fully accounting for all payments and credits
due OPFP, there remains due and owing to Fry a balance of
$6,042.04.
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6. Despite request for payment, OPFP has failed and
refused to pay Fry the balance due for the printing services
rendered by Fry.
7. As a result of OPFP's breach of contract, Fry has
been damaged in the amount of $6,042.04.
SECOND COUNT - ACCOUNT STATED
8. Fry incorporates herein paragraphs 1 through 6 of
this complaint as though fully set forth.
9. Fry submitted to OPFP its statement for services
rendered, a true and correct copy of which is attached hereto as
Exhibit "B".
10. OPFP acknowledged the indebtedness by making partial
payments therefor and not controverting it.
11. After crediting OPFP for all sums paid to Fry, there
remains a balance due and owing to Fry of $6,042.04, as shown on
the statement of account, a true and correct copy of which is
attached hereto as Exhibit "C".
12. The aforesaid indebtedness constitutes an account
stated for which OPFP is liable to Fry.
WHEREFORE, Fry demands judgment against OPFP in the
amount of $6,042.04 together with interest and the costs of this
action.
~.~
Robert A. Swift
I.D. No. 17766
KOHN, NAST & GRAF, P.C.
Suite 2400
1101 Market street
Philadelphia, PA 19107
(215)238-1700
Attorneys for Plaintiff
Fry Communications, Inc
~~b~
VERIFICl\TION
Mary Roberts, Comptroller for Fry communications, Inc.,
affirms that the facts set forth in the foregoing Complaint are
true and correct to the best of her knowledge, information and
belief.
I understand that false statements are subject to the
penalties of 18 Pa. C.S.S4904 relating to unsworn falsification to
authorities.
i
>
-....J.._...,:
..-...,
""'r'R~f
.c ~...~ ~i
PuIUCAnoN, CATAlOG AHO
Boo~ PIlINnNG SPlQAllm
~
"'.. .
,\~
.j'PROPOSAL
Page 1
Number: 12585
Requested by: Gary Shughart @ ext. 219
Lou Marcus & Associates
Attn: Lou Marcus
611 Monroe Avenue
Scranton, PA 18510
. .
Phone:
I . . .
TItle:
~
[ Pages:
Quantity:
! Variance:
I
I Size:
I Material:
(717) 346.0603 . Fax~ (717) 346-~
SMM.
32 Pages; Se1fcover
150,000
2%
83/8 * 10 7/8
Date: 08116/93
Paper:
Binding:
Packing &
Distn"butlon:
.
Strip one negative per color per page from supplied RRED composite pige
negatives. Make one set of blue1ine proofs. Show additional cost to output film
from supplied disk.
Heatset Web Offset - 4 Color Process throughout.
40# Ctd No.5 Carolina Bs.25*38
@39.50/CWT
Press:
Saddle Stitch
Bulk pac~ in convenient cartons, no specified count per carton. Show estimated
freight to Scranton, PA.. . . .'
Additional
Specifications: .
. "
: . .
... ~.
......
,.
..'
Temis:
..
T~ be agreed uPon - prints' every 3 weeks.
":" . i9 be dctermi~; DPo~";~:~~ietion of credit ~eclc.
. (:'.~ :':.!..:. .:"." '~'.~::~~?:Ji~":).'.....;. .
.-" :;.:'.;.. '. ..' . ..' .. .... ...
.;;
Schedule:
...... .1
. .
. "
.... .'
... .' ~
,
I
,
. ..
.. ~ .
:; ~. .:~:: ',. ..~:I ~i~':; .
.;-~ ~~: ;.'.~::. ., '~c:...:.-; ~.:-:;.
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- . .:...-:::.:,:;~~~~~:.:~,.;._... .. ... .~.__.__._~~;..--..... ... '.--
.! >>-..;-r:'.c.~.r.:<";;.:.I!.!~.~~'~~" ;;.t..~........ .......';.,>~\..,. '..I'~J'~.~~A.:\"'-''''';': ; .'
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..,j~~:.'tCv.e~.... J.ftf:I...-t\r......'. ..... ................ ... .,. .., . ~...
, _' .... '.~:'~; ,: ~..t~ '.' FRV'COMMUNICA:nONS' INC.... .. ,.... ..... ...--....,....
,...........,.~_~....f.......'QI ,J . . .-,'.' -.....- .....
. . :::'~'.~::: ',: :::-:....f: (717) 766-02t1/Fax: (717) 691'()341 ,.' '. '.~ .'~'!....""....
" .' '.:;'::~';~~-::.:~ut of S~te: (~) 334-1429/1n State: (800) 524-3232 ~. ';.;~',~-';.~.:.
... " ' ":' 8oo.'Nl!s! Church Road, Me<hanicsburg, PA 17055' '.' "<",-<,~.".'
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oUoIlhepticr\ .".ctII'lflO1'4. .......MtdCD1>dltJ<<N...- _'''/wobr~~ MId o<crplod.
N.''''''~:~ J.M4AZ.IA:t Acclptod"""IIVCO......u'"??./ ~
0, J1Ai.~ Iy....d~.;( ~~
To'" W.lAO~...{Ol.:t:-. \QV(' F~ fIl,.. Ce. 1Af" l1dl I(P S~;".s
1117/f3
Dllc.wfAurptooc;e ~ ItP '9.}
On, Of ArCfpllf'l('
'.
/
...
OFFSET PREP RATES
.-
Schedule CM
JTEM UNIT COST
Squan: Halftones. Includes stnpplng
.4"x5l/4" 13.00
.51/4"xS" 14.00
. 8" x 10 1/2" 15.00
. 16" x 10 1/2' . 17.00
SIlhouette Halftcmcs, add'l to halftone chaIge 6.50
Rescreen Halftones. add'l to halftone chaIge '7.00
Duotone 8" x 10 1/2": Includes strtpplng"" 30.00
SIlhouette Duotonc 8" x 10 1/2".
IDc1udcs I:ltd~.ph.g
AdtllHftn..l for Halftone or Duotone
from a slide c:a'tIansparency. each
Velox ~" halftone. mID. 100
line screcnl
Type In of a halftone. tint. combo
Spread choke. photographlcally
made ]m()('lmut
om-copy1lnc shot
From ~ ready copy. per color
:. per S 1/2'" x 11" page
. per tabloid page
om-copy duplicate negative. per color
. per S 1/2'" x 11" page
. per tabloid page
Om-COPYmulUple exposures. same page
om-coPYmlnlmum charge
Page nCgauvc. per color.
..' "~'lV'rSl/2"x U"page
.~... .
. fDc1udes stItpplng
. per tabloid page
._.,.'~'~,lndudes stdpplng
4 cOlor lI.........hll....'
'~~lor: silhoUetteS: Includes stripping
ShI}t~furn"'hM 1 colornegs
..'..~.~81/2"xU~pagc~ ' '
_..:;per)abloldpage . '_"'.
Shlpllll:1g furnI"~ mult1color negs;
'.. . per 8 1/2" x U" page. per color
.. " ;per'tablold page. per color ,.:. .
StItppIl:1g fracUona1 page. per colo~ . ~
Punch. mm for automatic ImposIUO\l~'
. . "",,.hln... per neg : :
Combo 4C page with 1 base neg ,
. Standard size
. Tabloid size
strIp-ln
ITEM
Break for color
Reverse: Includes strtpplng
ScRcn tint: Includes strtpplng
IJnc cut to 8" x 10 1/2': Includes strtpplng
. to 16" x 10 1/2"
Duplicate to 8" x 10 1/2": DO stdpplng '.. .'
,. ' . to 16"x 10 1/2" . .
. ~.UP ~ per color. per page .' ,.
.....f,(elillt~ suppUes teamhecQ .'
... .,36.00. .EnlIiiic'oneduce 1 color ads
......... .... . .... ~ ~~n"tIIrdslze
,.... ..... .......
. S.OO". Tabloid size
. ED1arge or reduce 4 color ads
5.65 '. ~..nil"rd size
17.00 . Tabloid size
Blucllnes
. per 81/2" x 11' page
. per tabloid page
Copy whlte (make a ncgatlve to a positive)
4.20 Color key proof. per color
7.00 .perSl/2"x 11' page
. per tabloid page
6.00 Press match proof:
U.OO . up to S" x 10 1/2" 72.50
3.20 . up to 16" x 10 1/2" 100.00
150.00 . up to 16" x 23" 170.00
....,"'_... . up to 23" x 36" 200.00
,3.35~ !~ inspection. per flat 20.00
A7;lll: ;~lnflats, per flat 4.80
6.70 Double bum. per flat 6.00
, 14.20. TImework. per hour 40.00
: . , -..2.9.90:; p output from disk or modem, per page
40.00 .... . S 1/2" x U" page. per color. fllm or ncg 8.00
, ".; .. ,i . Laser proof of abo9c. per color .80
~. .'!i;Sl75'" . U" x 16" page. per colOr. film or neg 15.00
.......:: 7.50. .Laserproofofabo9c.percolor 1.60
, . -: :.:r.;:~.,..Color keys to check Desktop 4/C output. ~ set
, .'.':~5,op.' ,{' . 5" x r , 20.00
.,. '10.00 . 12'x 10" ,; " 30.00
. ',~~itoo. .;? . 12" x IS" . " 50.00
'. ...--:~. FUS PrcPI1nt/PubUshers PrIsm charges.
:tt~~. addlttonal to above
...., :,: .8 1/2" x 11" page . ,
.... ,:... 30.00 . . 11" x 16" page
, ", 55.()(I'" '.Desktop timework, ~,hour. '" ;
. .... ;.' 4.80 . ..... . . '):f";~'~" .~. lo:'i.lit
UNIT COST
5.65
10.00
7.50
9.50
10.00
6.00
11.00
18.75
: ,', I\.
: . ~~'.'
. ,
AumOR'S ALTERATIONS.WILL CARRY A 5()o,v UP-CHARGE
~:~~ ,.
29.65
'.', ..
, 36.54
I .
78.62
106.14
2.00
4.00
4.35
7.50
15.00
1.00
2.00
.. '80.00
- ".J .
..
..'
"""
t';- :::,.",~"~:~...
CUSTOKER HAKEs Lou Kareus , ASB~clate9
PUBLICATION HAKE, SKK
QUOTE & DATE, Quote '12585 - August 16, 1993
QUANTITY, 150,000 - every 3 veeks
TRIK SIZE, 8 3/8 )\ 10 7/8 . .
---------------------------------------.------------------------------
..PRE-PRESS CHARGES.. . . .
Se. enclo.~ 'Ottcet Prep Rates' and 'postscr1pt Charge. l1.t in
Sch~ul. C'tor prices. IClIl .
----------------------------------------------------~------~-----~~---
..HEATSET TEXT PRIHTIHG...
(Prices includ. plates required tor each tora tro. stripped
tlats. All prep and ink additional. I
Original Repeat Running
KR KR per K
------------------------------
8 PAGE FORKS 2-UP BLAVA 189.26 154.26 6.21
1/1
2/2 342.71 272.71 6.47
4/4 664.02 563.62 6.99
5/5 833.27 708.27 7.28
16 PAGE FORlIS 153.66 9.50
1/1 188.66
2/2 342.11 272. 11 9.87
414 663.26 562.&6 10.65
5/5 a~2.52 707.52 11.06
2. or 32 PAGE FORYoS 12.06
1/1 - 1/1 310.31 241.31
2/2 - 2/2 594.02 364.77 12.99
.14 - 2/2 8U.53 7U.53 13.93
4/4 - 4/4 1029.28 819.28 15.17
EACH COLOR PUTE HOT USED -35.00 -35.00 -0.10
----------------------------------------------------------------------
..IHK. .
(All color in all veb forms to be billed
on . per color per page. No charge tor
black ink.)
KR R/K
EACH 2C PROCESS PAGE
EACH 3C PROCESS PAGE
EACH 4C PROCESS PAGE
AOO'L PER PAGE PER COLOR FOR PKS COLORS
AOD'~ PER PAGE PER COLOR FOR KETALLIC COLORS
FUT CHARGE FOR EACH PKS COLOR USED
FUT CHARGE FOR EACH KETALLIC COLOR USED
0.99
0.18
0.27
0.02
0.05
63.00
100.00
.... material must be plovidtd In KCOfdance with .Sptdr-eatlons Web OHs.tt f'rt..Ibrl(ations. - which is anachtcL
..............-......-....-............-..---............_--.-...._......-.._--.._~...._-_....._..._-..._-.-...........................
All PKking and d"rnribution iI FOB Mt<haniuburg. PAr. and k done KCOfd"1ftg to 'ry re-quiremcnu.
........-...................-...-..--.......-..----.-......-.--...-.....---.-...-.....-............................-..........----..---
P,;ctt fot pJptf and INttt..." in thk plopos,al at, baHd Of\ the Nth, price as of tJ'tt dltl of thk plopos.al AItf futut, lnctUM Of dt<luM' in pr;ct1 of tN-Je
InIttr{,fI to the print.r prior to ptoductton will 't1uh. in an WlotI\Itic adjUS1rnent of the plictt he.,in.
. s~~i;;' .'; ;;;;;,;,; ~;';" ;;;';;I~ ;';';:.~;;,;:.~' ;~;;; ;.;,~ ;;;~. ;"o~i~~~;~;';;~ ::h;~-,~.;;;;;,; ~:;;~~;;;;';;;;d ',~;';;;;~;.;~'~i;;';'; ;;';:;;';;'
Ind Fry CornmuthClitoont,. Inc. All p'tCt1lr. blsed on (osts 11th, tit", of quet,ltOft.M w.11 be subiton 10 'h~w.f not IUtp1td ""i,h:" sil't)' ('01 c!.ays..
i:
. '
~"p
Quote '12S8S . August 16, i993
..BINDING"
SADDLE STItCHa Cov~r counts as a signatur~.
1-3 SIGKAtuRES . .
4-6 SIGNAtuRES
7-9" SIGKATURES
10-12 SIGNAtuRES
BINDING stOP
TIPPING ..
HAKDLI~G,CUstOKER SUPPLIED KAtERIAL, PER ItEK
KR
..
~ R/K
--------------------
204.00
211.20
216.00
247.50
4S.00
42.00
7.30
11.50
13.03
14. li6
16...10
14.56
0.73
A lS~ PREIIIUK CHARGE FOR BINDIHG SLOWDOWK WILL APPLY IFa
Al Vacuum feeding is r~qu1r~d.
Bl Cards are less than half pag~ in 8i%e when bound in
center of book.
C) A tvo pager.
Dl Si9natur~s with tips.
E) Pregath~red signatur~s.
Fl A four page signature on se, stock.'
G) Gatefold covers or inserts.
H) Floating BIC.
Kultiply th~ number of slovdovn pieces by 1SX by th~ base
'binding price.
A 2SX PREKIUK CHARGE FOR SINDING SLOWDOWN IIIlL APPLY IF:
Il A four page signature on 40' or 45' stock.
Kultiply th~ number of slovdoyn pieces by 2SX by th~ base
binding price.
..PACKIHG..
'.
Regular Cartone & 1.05 neb
Eatia.tedfreight to Scranton, PA... $300.00 per truckload
. ,
...._. ~ 0:'
----------------------------------------------------------------------
..PAPER COStS..
KR
R/K
.... .:
--------------------
tEXTa 35"/0(0' Carolina '5 Ctd. Cbs. 25 lC 38) @ 39.S0/cvt
8 PAGE BlII 84.62 lS.51
.. ~ 8 PAGE 2C 112.83
15.73 '.
8 PAGE 4C 155.14 16.01
8 PAGE SC 183.35 16.15
16 PAGE B&II 56.41 31.03
16 PAGE 2C 84.62 31.45
16 PAGE 4C 119.88 32.02
16 PAGE SC 148.09 32.30
Lou Marcus L ABsociales
'SKK'
Sa.ple Invoicel 32 pagea, 4C
OIIole 112585' - Augu.t 16, 1993
PRE-PRESS, Billing vill be ba;~ on
BcluBl operation. per!oraed. Thi. i.
an e.li.ate only.
4C as.eilblle. ..
BlueUne.
OTY
----------------------------
32 e'. 20.00.s _ 64":00
32 e 2.00 . 64,00
TOTAL EST1KATEO PREPI.
'Additional cost to output f1l. i....5l024.00
IIR
PRINTING,
1-32 4/(-4/4
l,t~,
~'. .. -,,:p>'
...........,..- .
PRICE
TOTAL
7e4.0&
Rill
l500e&
----------------------------
1029.28
.. ...-.
INKI 32pgs-4C
Each 4C pase 32 9 .27
BINDING I
Seddle Stitch 1 8ig
204.0&
PACKING:
Estiaated cartonsl ~87 @ 1.05 each
Estis.ted freight to Scrant~n. PI.
PAPER COSTS:
~2 page. on 40. Ctd .5
239.76
TOTAL ESTIIIATEO INVOICE,
'.
15.17 3304.78
8.6( 1296.00
11.50 1929.00
511.35
~00.0e
64.03 98~4.26
----------
17889.39
:
I
/
.. Quote' 12585 - ReviBe October 13, 1993
..PAPER COSTS CONTINUED..
HR
--------------------
R/H
TEXTs 351/4GI'Caro11~a IS Ctd. lbs. 25 x 38) e 39.5G/cvt
24 PAGE BLII
24 PAGE 2C
24 PAGE 4C
32 PAGE i1LII
32 PAGE 2C
32 PAGE 4C
*' TEXTs 35"/51' Carolina IS'Ctd. lbs. 25 x 38)
32 PAGE BLII .
32 PAGE 2C
32 PAGE 4C
84.62
126.93
179.82
112.83
169.24
239.76
. 35.75/cvt
127.65
191.47
271.25
/-:
,. t ."~" ,
~......:...,
46.54
47.18
48.G2
62.G6
62.91'
64.1'3
71'.21
71.16
72.44
Hotes 24 pege for.. require half rolls.
Paper pr1ces based on current cost, subject to change and availability
+ ;!Jew p~
?~
.'
,.
.'
'.
~
,~1
.
.... material must be providod In __ with '1pocfficotlons Web Offsot ....bllcotJons,. which b.ttodltd.
....-....__...__.._-.---.Asij,;kk;;;,d.d;;Uj~bFOiM;.h.-.-k,i;.;;A:-;,;jbd;;;...;di;;g-i.;;;;;~__._._.._....m._ ......----..-..
-..;;k;;i;;~;';;;;;;"-;W;;;N;;_;;;~;;-U;;;;';'-;";i;;;;;i;;-.j;,~-.;j;j,b;;"A;;.';;;;~;;;'d;';;;;i,;~;;-;;,".;;;..-
. ",,'lfll" to the print.., prior to production will resutt. in an automatic adjunment or the- prices htfltin.
-.---------------------------...------------------....------------------------------------------------------...------------------------
Subjea to ~ tenns and Conditions shown on 1ht rtwfW side. thb ptopolll btcomn . contract when MuP'td by M authotl.ud t~ptf'1~nlatNot of your company
.nd 'ryCommunicI1~ Inc. All PfKn Irt wM'd on cents" the time of quotation and will be I4.Ibjm 10 rt'Vttw if not Mc.p.ed within lil'ty (60)~)'I.
II)
ii
~
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FRY COMI\':UN!CATJONS, INC.
0:' ',',EST CHU;;CH ;,.)AO. I.,,,CHANICSSURG. PA 170<'5
PHONE: (717) 766-0211 FED. 10. 23-1885979
940202-9401
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THE FIlWlCE CIWlGE IS COIoIPUT6l fIt A PERIOOlC IWE OF 01. 5CM PER
30 DoIMl ",MIHtMUM CtWlOE OF 50 CENTS) WHICtlIS AN ANNIW.rslCe"
'WlE RRE OF 18. 00 ~ Al'PlJED 10 PAST DUE IlAI.ANCE.
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-- -- - DIlIt _Ill. -
r ONE POINT FIVE PUBLISHING .., 1065379 .BL 01125/94 037388 1
611 KONROE' AVE
SCRANTON PA 18510-1215 _Ill. -
3/ 2719, NET RECEIPT OF' INVOICE
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AMOUNT fWD $
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~ DE1l\CH AND RETURN wmt ~R PAYMENT.
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INSALACO'S HAGAZINE
JANUARY 20, 1994
16PP 85,000 COPIES
HEA TSET TEXT:
16PP 4/4 HR
1 . 663.2600
PER H
85.000. 10,6500
663.26
905.25
INK:
EACH 4C PAGE PER H 14. .27 = 3.78
85.000. 3.7800
BINDING: SADDLE STITCH
1-3 SIGNATURES HR
1 . 2010.0000
PER H
85.000. 11.5000
PAPER: 35w 50: COATED
16PP 4C HR
321.30
2010.00
977.50
1 . 135.6300
135.63
PER H
85.000. 36.2200
PREP: SEE ATTACHED BREAKDOWN
1 . 364.7500
ELECTRONIC PRE-PRESS: SEE ATTACHED BREAKDOWN
1 . 2164.7000
3,078.70
~6It. 75
2,164.70
PACKING:
CARTONS
UPS BAGS
187 .
1.0500
196.35
2. 1.5800
DELIVERY TO LAFLIN, PA
1. 125.0000
HAY HESSENGER SERVICE. N/C
3.16
125.00
INVOICE TOTAL
$9,139.60
~y COMMUNICATIONS. INC.~%'~~s':i,':.~~PA'1ll5S
PLEASE PAY THIS AMOUNT
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vs.
IN THE COURT OF COMMON PLEAS
CUMBERLAND COUNTY, PENNSYLVANIA
NO. 94-CIV-1773
CIVIL ACTION - LAW
FRY COMMUNICATIONS, INC.,
Plaintiff,
ONE POINT FIVE PUBLISHING
COMPANY, INC.,
Defendant.
JURY TRIAL DEMANDED
Deposition of: MARY L. ROBERTS
Taken by: Plaintiff
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Before: Emily Clark, RPR, Reporter-Notary
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Date:
January 25, 1995, 2:10 p.m.
Place:
Reager and Adler
2331 Market Street
Camp Hill, Pennsylvania
APPEARANCES:
REAGER & ADLER
BY: THOMAS O. WILLIAMS, ESQUIRE
For - Plaintiff
It) ORIGINAL
I
Emily R. Clark, RPR-CM
(717) 233-1744
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I N D E X
Examination
EAsa
3
Deponent
Mr. Williams
Mary Roberts
NQ....
1
2
3
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5
6
7
8
9
10
11
12
v
EXHIBITS
Description
Identified
2-page Notice of Depositions and
Request for Production of Documents
6
2-page letter, 1/4/95, to Eugene
Hickey, Esq., from Robert Swift, Esq.
2-page letter, 1/11/95, to Robert
Swift, Esq., from Eugene Hickey, Esq.
6
7
2-page "Plaintiff's Notice of Depositions
and Request for Production of Documents"
7
I-page letter, 1/18/95, to Eugene
Hickey, Esq., from Thomas Williams, Esq.
7
1-page letter, 1/24/95, to Thomas
Williams, Esq., from Eugene Hickey, Esq.
1-page letter, 1/24/95, to Eugene
Hickey, Esq., from Thomas Williams, Esq.
8
B
7 pages: 1-page "Proposal" 8/16/93/
attachments
10
1-page credit application
12
15
1-page letter, 11/16/93, to Lou
Marcus from Gary Shughart
1-page memo, 10/18/93, to Ken Buohl
from Lew Marcus
15
2-page letter, 12/22/93, to Fry Comm.
from Lew Marcus
18
Emily R. Clark, RPR-CM
(717) 233-1744
f".
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I N D E X
EXHIBITS
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Description
13
1-page invoice, 1/25/94
1-page letter, 12/16/93, to Fry Comm.
from Lew Marcus
14
15
2 pages: 1-page fax transmittal,
1/24/94; attachment
16
1-page fax, 1/21/94, to Lew Marcus
from Mary Roberts
17
1-page letter, 2/2/94, to Fry Comm.
from Ken Arnovitz
18
I-page letter, 2/4/94, to One Point
Five from Mary Roberts
o
19
1-page fax sheet, 2/8/94, to Fry Comm.
from Ken Arnovitz
20
2-page letter, 2/8/94, to Fry Comm.
from Ken Arnovitz
21
1-page letter, 2/9/94 to One Point
Five from Mary Roberts
22
1-page handwritten note, 1/7/94, to
Ted from Lew
23
1 page, photocopy of check #147,
1/7/94, $1,000
24
1-page "Commercial Billing Accounts
Receivable Age Analysis"
25
3-page letter, 2/1/94, to Fry Comm.
from Lew Marcus and Ken Arnovitz
* * * * *
o
Emily R. Clark, RPR-CM
(717) 233-1744
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Identified
19
20
22
26
26
28
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32
33
34
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37
38
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MARY L. ROBERTS, called as a witness, being duly
sworn, testified as follows:
BY MR. WILLIAMS:
Q Would you please state your name and employer, fo
the record?
A Mary Roberts. My employer is Fry Communications.
Q And what is that work address?
A 800 West Church Road in Mechanicsburg,
9 Pennsylvania.
10
Q
And your work phone number?
11
A
717-766-0211.
12
Q
And your Social Security number?
o
13
A
185-34-9827.
14
Q
I'm going to ask you some questions concerning th
15 facts of this case, and if you don't understand the question,
16 you can tell me if you don't and I'll reword it for you. It's
17 very important that you answer each and every question with a
18 verbal response rather than a shake of the head so that the
19 court reporter can take down that information. The court
20 reporter cannot record nods or shakes. And if you want me to
21 repeat any questions that you do not understand, I'll be happ
22 to do that.
23 Are you currently taking any medication?
24
A
No.
~
25
Q
Have you recently had any drugs or alcohol?
Emily R. Clark, RPR-CM
(717) 233-1744
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A
No.
2
o
Do you have any questions before we start?
3
A
Not at this time.
4
MR. WILLIAMS: Before I start asking questions of
5 Ms. Roberts, I would like to put on the record that it is now
6 2:14 on the 25th of January. Present here are myself, the
7 court reporter, an assistant in our office, and Mrs. Roberts,
8 the deponent. Unfortunately, not present here today are Mr.
9 Arnovitz, one of the other deponents, and his counsel.
10 Pursuant to an order by Judge Oler in this case
11 dated December 12 of 1994, the parties were ordered to hold
12 these depositions in order to establish the venue in this
^
....,
13 case, and that is what we are doing today.
14 On December 20th, Robert A. Swift, Esquire, sent
15 notice to Eugene F. Hickey, Esquire, notice of the depositions
16 of Mr. Arnovitz and Ms. Roberts. Along with that Notice of
17 Deposition was a document request. To date, no response has
18 been made to the document request. The Notice of Deposition
19 that was sent by Mr. Swift notified Mr. Arnovitz and his
20 counsel that a deposition in this matter would be held at the
21 offices of Reager and Adler on January 6th, 1995, at 2 o'cloc
22 p.m. Again, attached to that notice was a Request for
23 Production of Documents.
u
24 I would like to make this a part of the record.
25 Plaintiffs Exhibit No. 1 will be P1aintiff's Notice of
Emily R. Clark, RPR-CM
(717) 233-1744
6
~
1 Deposition and Request for Production of Documents calling fo
2 a January 6, 1995, deposition.
3 (Plaintiff's Deposition Exhibit No.1 was marked.)
4
MR. WILLIAMS: TWo days prior to the January 6th
5 scheduled deposition, Mr. Swift received notice from Mr.
6 Arnovitz's counsel that neither Mr. Arnovitz nor his counsel
7 would appear at the January 6 deposition. No offer to produc
8 documents was made at that time. Consequently, that
9 deposition was not held.
10 I would like to make the letter from Robert A.
11 Swift, Esquire, to Eugene F. Hickey, Esquire, dated January 4,
12 1995, a part of the record and identify it as Plaintiff's
o
13 Exhibit No.2.
14
(Plaintiff's Deposition Exhibit No.2 was marked.)
MR. WILLIAMS: In the letter of Mr. Swift dated
15
16 January 4th, Mr. Swift stated that he would reschedule the
17 depositions of Mary Roberts and Mr. Arnovitz for January 12th,
18 1995, for the convenience of Mr. Arnovitz and his counsel.
19 These depositions were to be held at 2:00 p.m. on the 12th of
20 January at Reager and Adler. Again, that deposition was not
21 held.
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22 On January 11th, 1995, one day before the January
23 12th scheduled deposition, Mr. Swift received via facsimile a
24 letter from Eugene F. Hickey, Esquire, advising Mr. Swift tha
25 neither he nor his client, Mr. Arnovitz, would appear at the
Emily R. Clark, RPR-CM
(717) 233-1744
o
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15
16
17
18
19
20
21
22
23
24
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1 deposition rescheduled for January 12th, 1995. I would like
2 to make this letter a part of the record Plaintiff's Exhibit
3 No.3, the letter from Eugene Hickey to Robert Swift dated
4 January 11.
5 (p1aintiff's Deposition Exhibit No.3 was marked.)
6
MR. WILLIAMS: As a result of Mr. Hickey's letter
7 of January 11th, and out of courtesy, Mr. Swift, along with
8 co-counsel, Theodore Adler, agreed to again reschedule this
9 deposition to commence on January 25th, 1995, at 2 o'clock
10 p.m. Again, this notice contained a request for production of
11 documents which to date has not been responded to.
12 I would like to make Plaintiff's Notice of
13 Deposition and Request for Production of Documents setting a
date of January 25th, 1995, for deposition as part of the
record.
(Plaintiff's Deposition Exhibit No.4 was marked.)
MR. WILLIAMS: I would also like to make as part
of the record a letter dated January 18th, in which Thomas O.
Williams sent notice to Mr. Hickey of the deposition, that the
depositions would be held on January 25th.
(Plaintiff's Deposition Exhibit No.5 was marked.)
MR. WILLIAMS: On January 24th, 1995, Tom Williams
received notice via facsimile, via a letter faxed to him date
January 24th, 1995, that neither Mr. Arnovitz nor Mr. Hickey
would be attending the deposition scheduled for January 25th,
Emily R. Clark, RPR-CM
(717) 233-1744
o
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6
7
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10
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12
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15
16
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8
1 1995. This letter was from Eugene F. Hickey. I would like t
2 make this part of the record, the letter dated January 24th,
3 1995, from Eugene Hickey to Mr. Williams.
4 (Plaintiff's Deposition Exhibit No.6 was marked.)
MR. WILLIAMS: Finally, later that day, January
24th, 1995, after receiving Mr. Hickey's letter, Thomas
Williams sent a letter to Mr. Hickey via telefax stating that
the depositions scheduled for January 25th would not be
rescheduled and would be held on that day as scheduled.
(Plaintiff's Deposition Exhibit No.7 was marked.)
MR. WILLIAMS: We're ready to proceed with
questions to Mary Roberts.
BY MR. WILLIAMS:
o How long have you been employed by Fry?
A 16 years.
o Where are the offices, the Fry Communications
17 offices located?
A
800 West Church Road in Mechanicsburg,
19 Pennsylvania.
20
And what county is that in?
That is in Cumberland County.
o
21
A
22
Does Fry Communications have offices elsewhere?
o
23
We currently have offices at 15 Pleasant View
A
24 Drive in Mechanicsburg, Pennsylvania. In March of 1994 we
25 opened an office in Michigan.
Emily R. Clark, RPR-CM
(717) 233-1744
o
1
Q
2
A
3
Q
4
A
5
Q
6
A
/'
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9
What is your title?
I am the comptroller.
And how long have you been in that position?
Since 16 years, 1978, I believe.
What are your responsibilities in that position?
Financial responsibilities, taxes, overseeing all
7 the accounting functions. I'm also the corporate secretary.
8 I'm greatly involved with many of the facets of the company,
9 credit applications from potential customers, commissions for
10 salespeople.
11 Q What, if any, role do you play with regard to the
12 contracts that Fry Communications enters into with anybody
0 13 ordering services from Fry?
14 A Contracts are controlled by the sales department.
15 Copies are accessible by the accounting department and
16 myself. They are in coordination with credit applications
17 that are received by potential customers, The contracts are,
18 have been written to comply with the laws of Pennsylvania, ou
19 terms and conditions of payment in that customers understand
20 that and sign the contracts accordingly.
21
Q
You are familiar with the contracts, what the
22 contracts look like?
23
24
A
Q
Yes, I am familiar.
Are you familiar with the contract between Fry
u
25 Communications and One Point Five Publishing, which is the
Emily R, Clark, RPR-CM
(717) 233-1744
10
o
1 subject of the current litigation?
2
3
A
Q
4 contract?
5
A
Yes, I am.
Were you involved in the negotiations of this
I was not involved directly in the negotiations of
6 the actual contract, no.
7
Q
8
A
9
Q
But again, you are familiar with this contract?
Yes, I am very familiar with the contract.
I'm going to show you a document and I'll ask you
10 to read over it for a few seconds and let me know if you can
11 identify that.
12
A
o
This is a proposal to Lew Marcus and Associates,
13 attention Lew Marcus.
And who is Lew Marcus?
14
Q
15
A
16 Publishing.
17
Q
18 marked.
Lew Marcus is a principal of One point Five
If you turn to the second page -- let me have this
19 (Plaintiff's Deposition Exhibit No.8 was marked.)
20 BY MR. WILLIAMS:
21
Q
I'll ask you to turn to the second page of what
22 has been marked as P1aintiff's Exhibit No.8, which purports
23 to be a proposal, and look at the bottom of the page.
24 Are there signatures on the bottom of that page?
u
25
A
Yes. This is the back page of our proposals,
Emily R. Clark, RPR-CM
(717) 233-1744
0 1
2
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7
8
9
10
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12
0 13
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15
16
17
18
19
, l
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located?
11
which lists the terms and conditions, and it has been accepte
by Insalaco's Magazine and signed by Lew Marcus, principal,
One Point Five Publishing, on October 18th, 1993.
Q And was this accepted by Fry Communications?
A Yes, by indicated here, vice president of sales,
6 Gary L. Shughart, accepted the contract on 11/17/93.
Q So Insalaco's Magazine through Lew Marcus accepte
the proposal on, or executed the proposal on October 18th,
'93, and Fry Communications through a signature of its vice
president of sales, accepted this agreement on November 17th,
1993; is that correct?
A Yes, it is.
Q When Mr. Shughart executed this contract on behalf
of Fry Communications, where did he do this? Where was he
A 800 West Church Road, Mechanicsburg, Pennsylvania.
Q And what county is that in?
A Cumberland County.
Q Now, this proposal, is this a typical proposal of
20 the Fry company?
21 A Yes, it is.
22 Q Now, in this particular case, who sent, or was
23 this sent to Lew Marcus or One Point Five from Fry
24 Communications?
25
Yes. Evidently, it was prepared as dated on
A
Emily R. Clark, RPR-CM
(717) 233-1744
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1 8/16/93. It was sent to Lew Marcus and Associates, and they
2 are listed at 600 Monroe Avenue in Scranton, Pennsylvania.
3
Q
So this was sent from Fry Communications to One
4 Point Five?
5
A
That's correct.
6
Q
And shortly -- correct me if I'm wrong, but
7 shortly sometime after Mr. Marcus executed the agreement on
8 October 18th, Fry Communications received this from One Point
9 Five in its offices in Cumberland County?
10
A
As indicated by a facsimile, facsimile mark, it
11 was received in our offices in Cumberland County on October
12 18th, 1993, from a phone number of 717-346-8050.
o
13
Q
And what number is that?
14
A
Must be 8090, excuse me. It is the fax number of
15 One Point Five Publishing.
16
Q
Are you familiar with the contents of the
17 agreement in terms of what Fry was supposed to supply to One
18 Point Five?
19
A
To some degree, yes.
20
MR. WILLIAMS: I would like to mark that as an
21 exhibit.
22 (Plaintiff's Deposition Exhibit No.9 was marked.)
23 BY MR. WILLIAMS:
24
Q
I want to show you what's been marked as
o
25 Plaintiff's Exhibit No. 9 and see if you can identify that?
Emily R. Clark, RPR-CM
(717) 233-1744
"
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A
13
This is a credit application that we give new and
2 potential customers to fill out before we accept them as a
3 customer.
4
Q
And this information, or this credit application
5 as you refer to it, did Fry send this to One Point Five?
6
A
As indicated by a facsimile mark at the top, it
7 appears that we sent it on September 14th, 1993, at 10:47,
8 from Fry Communications.
9
Q
10 this?
11
A
And is there a record that One Point Five receive
It was sent to the 346-0890. The assumption is i
12 was received and returned to us. A blank was sent on the 14t
o
13 of September. Obviously, they did receive it and filled it
14 out to some extent and returned it, again, by facsimile
15 transmission on October 18th, 1993.
16
Q
So there is a facsimile transmission indicating
17 from Lew Marcus and Associates dated October 18th, 1993?
18
19
A
Q
That's correct.
There is a signature on the bottom of this
20 application that is filled out. Can you identify that
21 signature?
22
A
23
Q
24
A
~
25
Q
It is signed principal, Lew Marcus.
And what is the date of this application?
The application was dated October 18th, '93.
When did Fry start producing what was ordered by
Emily R. Clark, RPR-CM
(717) 233-1744
r.
14
0>
lOne Point Five, do you know?
2
A
I am not certain of the dates. I understand that
3 correspondence and conversations were made with Lew Marcus
4 with our customer service manager on the 18th of 1993.
5
Q
And where was that customer service representativ
6 located?
7 A At our administration office at 800 West Church
8 Road in Mechanicsburg.
9 Q And who initiated that conversation?
10 A I can't tell you that.
11 Q Would Fry ordinarily, if you know, start producin
12 an order prior to receiving a credit check?
o
A
No.
13
14
And why is that?
It is written policy and procedure through the
Q
15
A
16 customer service department that they do not start any work
17 without authorization from the credit department or myself
18 with an application filled out and supplied with other
19 material that they may have, correspondence they may have
20 regarding that job.
21
So what you're saying is that no work would
Q
22 commence on any orders until potential customers supplied you
23 at your offices in Cumberland County with satisfactory credit
24 information?
u
25
A
That is correct.
Emily R. Clark, RPR-CM
(717) 233-1744
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1
MR. WILLIAMS: I would like to have this entered
2 into evidence.
3 (Plaintiff's Deposition Exhibit 10 was marked.)
4 BY MR. WILLIAMS:
Q I'm going to show you what has been marked as
Plaintiff's Exhibit No. 10 and ask if you can identify that
for me, please?
A Yes. It is a letter that Gary Shughart, our vice
president of sales, sent to Lew Marcus at 611 Monroe Street i
Scranton, stating that he has enclosed the copy, a copy of a
full executed contract for their record.
Q And at the bottom of this letter there is an
indication of the address, and I would assume that's from
where Mr. Shughart sent this letter?
A It is sent from our administration office at 800
West Church Road, Mechanicsburg, Pennsylvania
(Plaintiff's Deposition Exhibit 11 was marked.)
BY MR. WILLIAMS:
Q I would like to show you Plaintiff's Exhibit No.
11 and ask if you can identify that, please?
A It is a memo on Insalaco's Magazine letterhead to
22 Ken Buohl, who is our customer service manager at Fry
23 Communications. The contents are discussions of the
24 production schedule and Fry Communications is producing
25 printing for this material.
Emily R. Clark, RPR-CM
(717) 233-1744
,.
y,
16
0 1
2
3
4
5
Q And does this letter, which is dated October 18th,
1993, predate, as far as you know, Fry Communications'
acceptance? Which has previously been indicated as November
something, sometime in November?
A Yes. It coincides with, the October 18th date of
6 this memo coincides with the same date that Lew Marcus signed
7 the contract proposal.
8
And at the top of this exhibit there appears to b
Q
9 a facsimile transmission notation, and what is that?
10
This particular facsimile transmission is on
A
11 February 2nd, '94, though my recollection is an original
12 facsimile of this same memo I recall being in my record of
0 13 having a facsimile date of October 18th.
14 Q And from whom is this indicated to be from?
15 A This memo is from Lew Marcus.
16 Q At the bottom of this page it indicates an address
17 of Scranton, Pennsylvania. This letter is, this memorandum is
1B to Ken Buohl. Is that the proper pronunciation of his name?
19
A
Yes.
20
Customer service manager of Fry Communications?
Q
21
A
Yes.
22
And where was Mr. Buohl at the point he would have
Q
23 received this letter from Mr. Marcus?
24
BOO West Church Road, Mechanicsburg, PA, in
A
o
25 Cumberland County.
Emily R. Clark, RPR-CM
(717) 233-1744
o
1
Q
!"
:~N_~~;
17
What was it, if you know, that Fry was to supply
2 to One Point Five?
3
A
4
Q
5
6
A
Q
We were to supply printing services.
Did Fry do this?
Yes, we did.
Where did Fry produce these materials that were
7 ordered by One Point Five?
8
A
They were produced at 800 West Church Road in
9 Mechanicsburg, PA.
10
Q
11
A
12
Q
o
And again, that is Cumberland County?
That is correct.
How did Fry, what were the materials that were
13 ordered? What was Fry to supply? Their magazines?
14
A
Yes. They had a magazine they wanted printed and
15 distributed. The proposal and instructions gave One Point
16 Five prices for printing, binding, distribution, packaging,
17 whatever was necessary to do the services requested.
18
Q
And how was Fry proposing to get the magazines to
19 One Point Five?
20
A
Each customer will make their own request. As I
21 recall, these magazines were to be bulked in cartons and
22 delivered to, the majority delivered to a warehouse in
23 Pennsylvania, and I don't recall the
24
Q
u
25
A
So they were produced at Fry's offices --
That's correct.
Emily R. Clark, RPR-CM
(717) 233-1744
~_..
~.;'
o
3
4
S
6
7
8
9
10
11
12
0 13
14
o
18
1
Q
__ in Mechanicsburg, Pennsylvania. Were they a1s
2 prepared for shipment
A Yes.
Q -- at those offices?
A They were prepared for shipment. The point of
service was from Mechanicsburg to an address or addresses
given to their customer service representative at Fry
Communications.
(Plaintiff's Deposition Exhibit 12 was marked.)
BY MR. WILLIAMS:
Q I'm going to show you what has been identified as
Plaintiff's Exhibit No. 12, and see if you can tell me what
that is?
A It is a two-page letter on the letterhead of
lS Insalaco's Magazine to Fry Communications, attention Gary
16 Shughart at 800 West Church Road in Mechanicsburg, dated
17 December 22nd, 1993.
18
And who sent this letter to Mr. Shughart?
Q
19
The letter was signed by Lew Marcus, president,
A
20 One Point Five Publishing.
21
And what is the general contents of this letter,
Q
22 as far as you understand it?
23
The general contents as I understand them is
A
24 asking Mr. Shughart to intercede on my credit terms.
2S
When you say my, you mean yourself?
Q
Emily R. Clark, RPR-CM
(717) 233-1744
r"
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19
n
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A
Mary Roberts, right. It begins requesting he to
1
2 intercede with Mary Roberts upon my, regarding my stringent
3 credit policies.
4
Q
To your knowledge, did Mr. Shughart intercede wit
5 you on that matter?
6
Again, as in any customer's request, he would
A
7 discuss the matter with me.
8
So as a result of this letter from Mr. Marcus to
Q
9 Mr. Shughart, Mr. Shughart had a conversation with you on Mr.
10 Marcus's behalf?
11
That is correct.
A
12
As Fry Communications provided or completed work
Q
o
13 under the contract, magazines that were ordered by One Point
14 Five, did Fry send invoices to One Point Five for these
15 magazines?
16
17
A
Yes.
Q
Where were those invoices prepared?
18
They're prepared in our administration office at
A
19
800 West Church Road in Mechanicsburg, Cumberland County.
Q And where were they mailed from?
A They were mailed from 800 West Church Road.
Q And where were they mailed to?
A They were mailed to Scranton, PA.
20
21
22
23
24
(Plaintiff's Deposition Exhibit 13 was marked.)
u
25 BY MR. WILLIAMS:
Emily R. Clark, RPR-CM
(717) 233-1744
20
~,.
,~'
1
Q
I'm going to show you what's been marked as
2 Plaintiff's Exhibit No. 13 and ask if you can identify that
3 for me?
4
A
This is a copy of an invoice from Fry
5 communications. It's dated the 25th of January, 1994. It was
6 sent to One Point Five Publishing, 611 Monroe Avenue,
7 scranton, PA.
8
Q
And that invoice, what is it for? What does it
9 represent?
10
A
The description indicates the work was identified
11 as Insalaco's Magazine, January 20, 1994, and this is a
12 16-page product and 85,000 copies were produced.
o
13
Q
Do you recall if Fry ever received any payments
14 from One Point Five for these magazines?
15
A
As I recall, three distinct jobs were produced fo
16 this company. One was paid in full in advance.
17
Q
Which one would that have been?
18
A
That would have been -- I don't know the title.
19 It might have been in November. I believe it was a November
20 publication. A December publication would have been our
21 second job. This, as indicated by the job number 3, is a
22 January 20th publication and we received partial payment on
23 this invoice. The total invoice was $9,139.60, and we had
24 some partial pre-payments on this.
o
25
(Plaintiff's Deposition Exhibit 14 was marked.)
Emily R. Clark, RPR-CM
(717) 233-1744
"
,--,..
""'~lIi~7ii',~1
21
y.
t. ".....,
1 BY MR. WILLIAMS:
2
Q
I'm going to show you what's been marked as
3 Plaintiff's Exhibit No. 14 and ask if you can identify that,
4 please?
5
A
Yes. It is a letter from Lew Marcus on Insalaco's
6 Magazine letterhead. It is addressed to Mary Roberts,
7 controller. It was sent to 800 West Church Road in
8 Mechanicsburg, PA. It is dated December 16th, 1993. It is
9 thanking me for my extraordinary consideration in continuing
10 the production process.
11 It indicated here that they were -- what was
12 enclosed with the letter were two checks post dated. One
o
13 check was for $2,000, another check was for $2,500.
14
Q
And what does the last sentence of that letter
15 read?
16
A
(Reading): Please hold these checks until we
17 telephone you to deposit them.
18
Q
So Mr. Marcus was telling you that he was going t
19 make a telephone call to you or somebody at Fry
20 Communications?
21
A
That's correct.
22
Q
Did you ever receive that phone call?
I had to -- no. I initiated the phone call to
23
A
24 find the dates that we could deposit the checks.
,
-...J
25
Q
Did you ever deposit those checks?
Emily R. Clark, RPR-CM
(717) 233-1744
22
o
1
A
Yes, we did. Again, as indicated on here, there
2 is a notation a call was initiated on the 20th,
3
4
Q
Who initiated that phone call?
A
I initiated the phone call. The notation is in m
5 assistant's handwriting.
6
Q
Now, when you or Fry Communications would have
7 sent invoices, as you previously indicated, to One Point Five,
8 they indicated different job numbers; is that correct?
9
A
That's correct. That's the way we identify all
10 work through our plant.
11 Q And One Point Five Publishing would have had thre
12 job numbers? You would have produced or had orders for three
o
13 jobs?
14
A
Three would have indicated it was the third job.
15 That does not, it was not necessarily that three jobs would b
16 in the plant at one time.
17
Q
So there's possibly more than three jobs that you
18 were doing, or eventually ended up doing?
19
A
I don't believe. I believe three were the total
20 number
21 (Plaintiff's Deposition Exhibit 15 was marked.)
22 BY MR. WILLIAMS:
23
Q
I'm going to show you what's been marked as
24 Plaintiff's Exhibit No. 15 and ask if you can identify that?
v
25
A
Yes. It is a fax transmission sheet from Lew
Emily R. Clark, RPR-CM
(717) 233-1744
1'.","". ,
*~...""
~'-'" ~ ,- .~",,'~ .
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23
0 1 Marcus.
2 Q From Lew Marcus?
3 A It is directed to Ted Van Pelt.
4 Q And who is Ted Van Pelt?
5 A Ted Van Pelt is a customer service representative.
6 Q And where is Ted Van Pelt located?
7 A At Fry Communications, 800 West Church Road,
8 Mechanicsburg, Pennsylvania, in Cumberland County.
9
Q
And on here there is indicated a message. Can yo
10 read that message?
11
A
It is from Lew Marcus. Transmission sheet is
12 dated the 24th. The message states proof of wire transfer.
C>
13
Q
So this would have been an indication that One
14 Point Five was making a payment on one of the invoices sent b
15 Fry Communications?
16
A
That's correct. It could have been on an invoice
17 or part of a pre-payment. It doesn't -- I don't have
18 sufficient enough information to identify what particular
19 how it would have been directed or for what particular job it
20 would have been directed to.
21
Q
Do you recall having any telephone conversations
22 with any representatives of One Point Five?
23
A
I had many phone calls and conversations with Lew
24 Marcus.
o
25
Q
When would they have begun, those conversations,
Emily R. Clark, RPR-CM
(717) 233-1744
/"
_~,~:f
24
o
"".
1 with respect to the very beginning of the relationship betwee
2 One Point Five and Fry Communications to the present?
3
A
They began shortly after they understood that the
4 credit terms that I had placed on their account was
5 pre-payment. Discussions regarding that pre-payment were
6 frequent with Lew Marcus.
7
Q
Who initiated those telephone calls?
8
A
Lew Marcus initiated those phone calls to me,
9 mostly to ensure that production would not be delayed on
10 product being produced at our plant in Mechanicsburg. Or the
11 were initiated to inform me of checks or promises of payment
12 on work being performed or work that had been performed.
o
13
Phone calls were initiated to give me a verbal
14 understanding and discussions regarding the investment
15 individuals and the structure of the new organization, One
16 Point Five.
17 They were, one was initiated to give me
18 explanation of why a particular check had bounced from our
19 deposit on a check from One Point Five.
20
Q
So what I gather is that there were ongoing
21 conversations with Mr. Marcus?
22
A
Yes.
23
Q
In terms of the telephone conversations that you
)
-.......,;
24 had with Mr. Marcus, where were you located at the time that
25 you were speaking with Mr. Marcus?
Emily R. Clark, RPR-CM
(717) 233-1744
r'
iDil"i'. .
25
CD
A
I was located in my office at 800 West Church
1
2 Road, Mechanicsburg, Pennsylvania, Cumberland County.
3
Q
Would you be able to estimate about how many phon
4 calls you received from Mr. Marcus in your office during the
5 course of either the negotiations over the terms of the
6 contract or all the way up until the end?
7
A
It would be difficult to identify them strictly 0
8 the contract. I would have to estimate the total phone calls,
9 discussions with Lew Marcus himself, up until the termination
10 of our work with them.
11
More than five?
Q
12
Oh, I would say 20 to 30.
A
o
Q
And each time you were located in your offices?
13
14
That's correct.
A
15
Did you have discussions with any other
Q
16 representatives of One Point Five?
17
Yes. As the business relationship seemed to
A
18 deteriorate, Ken Arnovitz called. I spoke to him in my
19 office. He also called Mr. Fry.
20 Q And who was Mr. Arnovitz, do you know?
21 A Mr. Arnovitz was simply identified on the credit
22 application as a principal of One Point Five Publishing.
23
And again, who initiated those telephone calls
Q
24 between you and Mr. Arnovitz?
-....J
25
A
Mr. Arnovitz initiated those calls.
Emily R. Clark, RPR-CM
(717) 233-1744
26
o
1
(Plaintiff's Deposition Exhibit 16 was marked.)
2 BY MR. WILLIAMS:
3
Q
I'm going to show you what's been marked as
4 Plaintiff's Exhibit No. 16 and ask if you can identify that,
5 please?
6
A
Yes. It is a fax cover sheet on Fry
7 Communications logo. It is from myself, Mary Roberts, and it
8 was sent to Lew Marcus at their fax number of 346-8090.
9
Q
And what is the content of that message?
10
A
The content was to describe the -- to give a
11 detail of the balance of monies due Fry Communications. It
12 also listed the post-dated checks that we were holding. It
o
13 described that there was a job inhouse ready to start
14 production and what the estimate of that job would be.
15
Q
What was this fax, what was the date on this?
16
A
The fax date is 1/21/94.
17 Also noted at the bottom was the statement that I
18 made for him to call to discuss the fax that I sent him.
19
20
Q
And did he call you?
I believe he did.
A
21 (Plaintiff's Deposition Exhibit 17 was marked.)
22 BY MR. WILLIAMS:
23
Q
I'm going to show you what's been marked as
24 Plaintiff's Exhibit No. 17 and ask if you can identify that?
u
25
A
It is a letter to Fry communications, attention
Emily R. Clark, RPR-CM
(717) 233-1744
Yo, ....
O~
"
1 Henry Fry.
t. " .
.&;':'
27
"
I
.1
A:
Q Who is Henry Fry?
A Who is the president of Fry Communications at 800
West Church Road.
2
3
4
5
6
Q
A
7 Cumberland.
8
9
Q
A
10 Associates.
11
Q
12 Associates?
o
13
A
And this letter was sent where?
It was sent to Mechanicsburg, Pennsylvania, in
And how was it sent?
It was sent via fax from Lew Marcus and
And how do you know it was from Lew Marcus and
The facsimile at the top indicates the name and
14 the phone number. It was sent on February 2nd, 1994, at 3:36
15 p.m.
16
Q
17
A
18
Q
19
A
20 with
21
Q
22
A
Who is indicated as the sender of this letter?
It was signed by Ken Arnovitz.
What is the content of this letter, if you recall?
As I recall, they were trying to sway Mr. Fry
Who is they?
Ken Arnovitz and Lew Marcus, regarding, for him t
23 intercede regarding my credit decision of pre-payment for this
24 account.
.-.)
25
Q
~.;ii,'~."-,
And did Mr. Fry, in fact, intercede on their
Emily R. Clark, RPR-CM
(717) 233-1744
L..:.~_
-~,.,
..
28
n
'I .'
1 behalf?
2
A
Again, Mr. Fry discussed the matter with me.
3 (Plaintiff's Deposition Exhibit 18 was marked.)
4 BY MR. WILLIAMS:
5
Q
I'm going to show you what's been marked as
6 Plaintiff's Exhibit No. 18 and ask if you can identify that?
7
A
Yes. It's a letter I had written on Fry
8 Communications letterhead. I had sent it to One Point Five,
9 attention Ken ArnoVitz, at the Scranton address. It was
10 dated, the letter is dated February 4th, 1994. It is signed
11 by myself.
12
Q
Where did you send that from?
I sent it from our office at 800 West Church Road,
0"".
."'
13
A
14 Mechanicsburg, Pennsylvania.
15
Q
And the third paragraph, could you read that for
16 me?
17
A
It begins as a second point: One Point Five
18 Publishing currently owes Fry Communications a balance of
19 $6,042.04 for the prOduction of the Insalaco's Magazine. You
20 have declined to comment on how you intend to pay this ba1anc
21 or if you have any intentions of doing so.
22 (Plaintiff's Deposition Exhibit 19 was marked.)
23 BY MR. WILLIAMS:
24
Q
I'm going to show you what's been marked as
o
25 Plaintiff's Exhibit No. 19 and ask that you identify that, if
Emily R. Clark, RPR-CM
(717) 233-1744
29
@ 1 you can?
2 A It is a
3 Magazine letterhead
4 Ted Van Pelt.
fax transmission sheet on Insalaco's
to Fry communications to the attention of
5
6
Q
Where is Mr. Van Pelt located?
A
He's located at 800 West Church Road,
7 Mechanicsburg, PA, Cumberland County.
8
9
Q
And who sent this to Mr. Van Pelt?
A
It was sent from Ken Arnovitz on 2/8/94 at 3:40
10 p.m.
11
Q
When you say it was sent from Mr. Arnovitz, is he
12 the message sender? Or what does the top of this document
o
13 say?
14
It was sent by facsimile from Lew Marcus and
A
15 Associates, as indicated by the print, and it came from a fax
16 number of 346-8090.
17
So this is from, as indicated, Mr. Arnovitz to Mr.
Q
18 Van Pelt, and is there a message from Mr. Arnovitz?
19
There are three messages numbered. The first
A
20 says: Please copy this and deliver to Mr. Fry and Mary
21 Roberts for us.
22
Okay.
Q
23
The second is: You are free to mail a copy for,
A
24 make a copy for your own files.
\ ..
v
The third states: We still have not received the
25
Emily R. Clark, RPR-CM
(717) 233-1744
30
~
1 materials from the last issue.
2
Q
Do you know what he would be talking about in
3 number 3 when he says he's not received the materials from th
4 last issue?
5
A
Materials are sent by customers to our plant at
6 Fry Communications that are used in the production of printin
~
25
Q
So Fry would need this material to be able to
Emily R. Clark, RPR-CM
(717) 233-1744
7 their publications.
8
9
Q
What are materials that he's referring to?
A
Materials could be original art work, it could be
10 film or composite film, which would be a page with the total
11 layout of how a customer would want that page to look.
o
12
13
14
Q
So customers would send that to you --
A
That's correct.
Q
__ before you could produce what they needed?
15
A
That is an option. It depends on the customer.
16 Some customers would give original art work, some would give
17 negatives that would have to be --
18
Q
In this case, Mr. Arnovitz says that he has not
19 received the materials from the last issue.
20
A
Materials are sent by customers. Many customers
21 will use that same material to reprint additional issues or
22 new issues. If they were printing this same work at another
23 printer, they obviously would need this material to have it
24 done at another printer.
31
~
1 produce what they wanted, what Insalaco's or what One Point
2 Five wanted?
3
4
A
That's correct.
Q
Did you or do you know whether or not Fry
5 Communications actually received art work from One Point Five
6 for use in the publication that they were ordering?
7 A I am not -- I was not able to see the actual
8 material. I cannot say whether it is original art work,
9 original film, or original negatives. I do know the material
10 that we stored on our premises were necessary to produce the
11 publications asked of us.
12
Q
So you did receive something, some materials from
o
13 One Point Five which Fry Communications needed to produce what
14 One Point Five wanted?
15
A
Yes. Each publication that they gave us had
16 different editorial, had different art work. It would be
17 necessary to be receiving material for each publication at th
18 various times requested for the production to be engaged.
19
Q
And correct me if I'm wrong, but One Point Five
20 actually did send Fry Communications materials to its
21 Cumberland County offices?
22
A
That's correct. The materials themselves were
23 received and stored until they were picked up at a later date.
24
Q
Who picked those up?
~
25
A
Ken Arnovitz, I believe, came down approximately
Emily R. Clark, RPR-CM
(717) 233-1744
32
<J>
1 the 15th of February 1994 to personally pick up the material,
2 to make an accounting that everything that they had sent was
3 there. I believe he did so, and signed off accordingly that
4 approximate ~Jte.
5
Q
So Fry Communications no longer has any of One
6 Point Five's materials, as you say?
7
A
That's correct.
8
Q
Now, Mr. Arnovitz, when you say he came down, wha
9 do you mean by that? Where did Mr. Arnovitz pick up these
10 materials?
11
A
He picked up the materials at 800 West Church
12 Road, Mechanicsburg, Pennsylvania, in Cumberland County
o
13
(Plaintiff's Deposition Exhibit 20 was marked.)
14 BY MR. WILLIAMS:
15
Q
I'm going to show you what's been marked as
16 Plaintiff's Exhibit No. 20 and ask if you can identify that?
17
A
It is a letter from Insalaco's Magazine. It is
18 addressed to Fry Communications, attention, Mary Roberts, 800
19 West Church Road, Mechanicsburg, Pennsylvania. It is dated
20 February 8th, 1994, via fax transmission. The fax number at
21 the top indicated it came from Insalaco's Magazine, also.
22
Q
And who signed this letter?
23
A
The letter itself is signed by Ken Arnovitz and a
24 copy sent to Henry Fry, president of Fry Communications.
\ ,
-......:J
25
Q
Would you read, after where it states dear Mary,
Emily R. Clark, RPR-CM
(717) 233-1744
33
o
1 would you read the first line there?
2
A
(Reading): In response to your letter of Februa
34th, 1994, Lew and I present the following.
4
5
6
o
And who is Lew?
A
It would be Lew Marcus.
o
So this is a letter from Mr. Arnovitz in which Mr.
7 Arnovitz and Lew Marcus are responding to a letter that you
o
13
o
And where were you when you were speaking to him
8 wrote to them; is that correct? Or one of them?
9
A
Yes. My February 4th letter. It also states in
10 one of the larger paragraphs on the second page regarding the
11 three-way conversation Lew, or Ken Arnovitz, myself and Mr.
12 Fry had earlier.
14 on that phone?
15
A
I was in Mr. Fry's office at 800 West Church Road,
16 Mechanicsburg, PA, Cumberland County.
17 (Plaintiff's Deposition Exhibit 21 was marked.)
18 BY MR. WILLIAMS:
19
Q
I'm going to show you what's been marked as
20 Plaintiff's Exhibit No. 21 and ask that you identify that, if
21 you can?
22
A
It is a letter that I had drafted and sent to One
23 Point Five Publishing. It is on Fry Communications
24 letterhead. It was sent to the attention of Ken Arnovitz at
.....-./)
25 the Scranton address via fax transmission. I sent it from ou
Emily R. Clark, RPR-CM
(717) 233-1744
l" .
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~.
34
<:)
1 office at 800 West Church Road in Mechanicsburg, PA, on
2 February 9th, 1994.
3
Q
And generally, what's discussed in this letter, if
4 you can recall?
5
A
Generally, the letter is trying to address payment
6 of the balance due Fry Communications of $6,042.04.
7
Q
In the third paragraph, could you read the third
8 paragraph?
9
A
It states: Lew's proposal of payment terms
10 accompanied your credit application which had no trade nor
11 banking references listed. Good business practices simply
12 would not allow anything other than pre-payment terms and he
o
13 was informed of such.
14
Now, when you mentioned Lew's proposal, proposal
Q
15 being in quotations, where did you get that from?
16
Lew at his original October 18th facsimile to Ken
A
17 Buoh1, our customer service manager, he had, was stating about
18 how materials would be sent. And in discussion with Ken
19 regarding production, part of that letter fax transmittal, he
20 had indicated how they would like the payment terms to be.
21
And how was that proposal communicated? By
Q
22 telephone, by letter?
23
It was part of the memo of October 18th to Ken
A
24 Buoh1 regarding other matters.
()
25
(Plaintiff's Deposition Exhibit 22 was marked.)
Emily R. Clark, RPR-CM
(717) 233-1744
.
~.. .. ~
..,
o
:)
16
17
18
19
20
21
22
23
24
"J 25
35
1 BY MR. WILLIAMS:
2
o
I'm going to show you what's been marked as
3 Plaintiff's Exhibit No. 22 and ask if you can identify that?
4
A
Yes. It is a memo on Insalaco's Magazine
5 letterhead. It is dated 1/7/94 to Ted.
6 0 Who is Ted?
7 A Ted would be the customer service representative
8 who would handle the production of their magazine through the
9 plant. Ted is located in Mechanicsburg.
10 0 And again, this purports to be dated January 7th
11 of '94, and who sent this to Ted?
12
It looks like Lew Marcus. I'm not positive.
A
13
And would you read that memo?
o
14
(Reading): Here is a good faith payment in
A
15 advance of Pam sending you the scans.
o What are the scans? Do you know what scans are,
as referred to here?
A Scans would be a pre-production material used in
printing of their job.
o You had mentioned earlier that Fry had sent
invoices to One Point Five for the services rendered?
A Yes.
o And that it had received at least some payments
from One Point Five?
A That's correct.
Emily R. Clark, RPR-CM
(717) 233-1744
,..
.~_." """"~,,
36
o
1
(Plaintiff's Deposition Exhibit 23 was marked.)
2 BY MR. WILLIAMS:
3
Q
On the invoices that Fry Communications sent to
4 its customers, where are the payments to be received at?
5 Where are the customers supposed to send their payments?
6
A
The address on the invoice is 800 West Church
7 Road, Mechanicsburg, Pennsylvania.
8
Q
And you, in fact, or Fry Communications, in fact,
9 received some payments from One Point Five at your offices in
10 Cumberland County?
11
A
All payments were sent to the 800 West Church
12 Road, Mechanicsburg, address.
G)
13
Q
I'm going to show you what's been marked as
14 Plaintiff's Exhibit No. 23 and ask that you identify that.
15
A
It is a copy of a check, One Point Five Publishin
16 Company, Insalaco's Magazine.
17
Q
And who is it pay to the order of?
18
A
It is pay to the order of Fry Communications. It
19 is signed by Lew Marcus and Ken Arnovitz. It indicates on th
20 memo portion for first payment, slash, run of 1/20/94.
21
Q
So they would have received an invoice that
22 indicated a job number?
23
A
No. Invoices are not generated till the work is
24 completed. Terms and conditions are determined beforehand.
__J
25 If a customer is asked to pre-pay, those pre-payments are
Emily R. Clark, RPR-CM
(717) 233-1744
~ 1
2
3
4
5
6
37
noted as payments on account until all the production work is
completed and a final invoice can be sent on that actual
production,
Q What is the date on that check?
A The check is dated January 7, '94.
(Plaintiff's Deposition Exhibit 24 was marked.)
7 BY MR. WILLIAMS:
B
Q
I'm going to show you what's been marked as
9 Plaintiff's Exhibit No. 24 and ask that you identify that, if
10 you can?
11 A This is a Fry Communications commercial billing
12 accounts receivable age analysis.
0 13 Q And who is indicated on there as being the
14 customer?
,",
o
15
A
The customer is One Point Five Publishing in
16 Scranton, Pennsylvania, with a contact name of Lew Marcus.
17
Q
And where would this be prepared?
1B
All the accounting functions are prepared at BOO
A
19 West Church Road in Mechanicsburg, Pennsylvania.
20
Would this be something that would be sent to the
Q
21 customer?
22
This particular statement was sent to the
A
23 customer, indicating the balances still owed Fry
24 Communications at that time.
25
On this accounts receivable, it indicates that Fr
Q
Emily R. Clark, RPR-CM
(717) 233-1744
38
o
1 received a number of payments.
2
A
That's correct.
3
Q
And can you tell me how much One point Five has
4 paid to date?
5
A
Analyzing this particular age analysis, our first
6 job is not indicated as open. That invoice must have been
7 paid in full with previous payments.
8 Other notations on this particular printout
9 indicate payments that have not been applied to a particular
10 invoice. They would be payments received on account as
11 indicated. It also indicates invoices for freight charges,
12 printing the second job, and printing of the third job.
o
(Plaintiff's Deposition Exhibit 25 was marked.)
13
14 BY MR. WILLIAMS:
15
I'm going to show you what's been marked as
Q
16 Plaintiff's Exhibit No. 25 and ask that you identify that,
17 please?
18
It is a three-page letter from Insalaco's Magazin
A
19 to Fry Communications, attention Henry Fry at 800 West Church
20 Road in Mechanicsburg. It is dated February 1st, 1994. It is
21 indicated it was sent via fax transmission. It is signed by
22 Lew
23 Ken
24
0 25
Marcus, who in this letter is indicated as the editor, an
Arnovitz, who indicates his title now is general manager.
Q So there are two signatures --
A That's correct.
Emily R. Clark, RPR-CM
(717) 233-1744
,
~ 39
0 1 0 -- on the letter.
2 MR. WILLIAMS: That's all I have.
3 (Whereupon, the deposition was concluded at
4 3:35 p.m. )
5 * * * * *
6
7
8
9
10
11
12
0 13
14
15
16
17
18
19
20
21
22
23
24
..f., 25
'01
Emily R. Clark, RPR-CM
(717) 233-1744
40
lD
COMMONWEALTH OF PENNSYLVANIA )
)
COUNTY OF DAUPHIN )
I, Emily R. Clark, a Court Reporter-Notary Public
authorized to administer oaths and take depositions in the
trial of causes, and having an office in Harrisburg,
pennsylvania, do hereby certify that the foregoing is the
testimony of MARY L. ROBERTS, taken by Plaintiff, at the law
offices of Reager and Adler, 2331 Market street, Camp Hill,
Pennsylvania.
I further certify that before the taking of said
deposition the witness was duly sworn; that the questions and
answers were taken down in stenotype by the said
o
Reporter-Notary, approved and agreed to, and afterwards
reduced to computer printout under the direction of said
Reporter.
I further certify that the proceedings and
evidence are contained fully and accurately in the notes take
by me on the within deposition, and that this copy is a
correct transcript of the same.
In testimony whereof, I have hereunto subscribed
my hand this 2nd day of February, 1995.
-:)
t<<>TARW.SfAL
EMILY R. C~K.1tJIlWy NIUe
HalriSIUQ. ~ln CCUty
MyCommisslon EJpIreS July 7, 1997
~~ rt ~
otar Public
Emily R. Clark, RPR-CM
(717) 233-1744
: ,~)
. &LcJ-
C??
I
co
.
.'
.
PRY COMMUNICATIONS, INC.,
plaintiff,
}
} IN '1'BB COURT 01' COMMON PLEAS
} ctJHBBRLAHD COUNTY, PEHHSYLVAHIA
}
}
} NO. g4-Crv-1773
}
INC} CIVIL ACTION
}
}
}
v.
OBB POINT J'rvs PUBLISHING CO.,
Defendant.
PLAINTIFF'S NOTICB OJ' DBPOSITIONS
AND REOUEST POR PRODUCTION 01' DOCUMENTS
TO: Eugene F. Hickey, Esquire
Schneider, Gelb & Hickey, P.C.
400 Spruce Street, suite 500
scranton, PA 18503
PLEASE TAKE NOTICE that, pursuant to Pa. R.C.P. Rule 209
o and the Order of the Court of Common Pleas, plaintiff will take the
depositions of the following persons at the offices of Reager &
Adler, P.C., 2331 Market Street, Camp Hill, Pennsylvania commencing
on January 6, 1995 at 2:00 pm before a certified court
stenographer:
Mary Roberts, Fry Communications, Inc.
Ken Arnovitz, One point Five Publishing
Plaintiff requests that the defendant and Mr. Arnovitz
produce the documents listed below at the above depositions.
1. All contracts and agreements between plaintiff and
defendant.
2. All communications between plaintiff and defendant,
~ inCluding correspondence, notes of telephone communications, and
facsimiles.
~.. PLAINTIFF'S
I EXHIBIT
Roberts 411
t-1S-9:> t~
tJ":'f.f~;'"
..
;',,;.. .
--1
I
~
~
3.
All documents reflecting or memorializing trips
taken by defendant's officers, partners, agents or employees to
Cumberland county, including trip reports and reimbursement of
expenses.
4.
All
accounting records
reflecting
business
transactions between plaintiff and defendant.
5. All documents which reflect or relate to the quality
or performance of the work performed for defendant by plaintiff.
6. All documents which record, reflect or relate to
defendant's reasons for not paying plaintiff for work performed by
plaintiff for defendant.
7. All records showing the legal formation and current
legal status (i.e. as a corporation, partnership, etc.) of
o
defendant.
~~~
Robert A. Swift
I.D. No. 17766
KOHN, NAST & GRAF, P.C.
suite 2400
1101 Market Street
Philadelphia, PA 19107
(215)238-1700
Reager & Adler, P.C.
2331 Market Street
Camp Hill, PA
Attorneys for Plaintiff
Fry Communications, Inc.
u
o
o
o
.
.
.
. .
.
KOHN, NAST e. GRAF, P.C.
HAIlIOLD E. KOHN
DAVID H. WEINaTEIN
"O.E"T A. aWI'T
WAYNE M. THO"'AS
DIANNE M. HAaT
ELMAN M. KATZ
"O.E"T oJ. LA"OCCA
..I0SE~H C. KOHN
..ItANNE ~. WAOBLESKI
..IOANNE ZACK
aTEVEN A. ASHt..
DENla P: SHEILS
"011 CRT S. MITCHENO'
QCOAOE W. CAONeA
1101 MARKE;T STREET, SUITE 2400
PHILADELPHIA, PENNlIYLV. ..,. 19107-2924
OOUOLA. A. A...AHA....
WILLIAM C. HOEse
MARTIN oJ. OOUR.O
LIND.EY II. .LAUGHTER
OC.ORAH A. aOTToaANTI
Bn:VCN M. .TCINDARa
AOIEAT D. OREENBAUM
BCNA II. QALEN
BCTH e.ORO..MAN
MYLE. H. MALMAN
DIANA LIIIEATO
AOIIIN IIHELDON
MICHAEL J. IIONI
CRAIO W. HILLWIO
, 21151 238-1700
TELECO..lc",211112311-18811
, J:Pt
, I';
J~I.I 1:'\ '1'):'5 .!
I." ..,...,..., 'j
L1u l,.:.:I ,J
......... ...... .....-... .....
Ja..ww~.1 4, 1995
VIA TELF.rn~!ER AND U.S. MAIL
Eugene F. Hickey, Esquire
Schneider, Gelb, Goffer & Hickey, P.C.
400 Spruce Street
suite 500
Scranton, PA 18501
Re: Fry Communications, Inc. v. One Point Five
Publishing Co., Inc.
Dear Mr. Hickey:
I am in receipt of your letter dated this date which came
by telecopier. You off~- w~ jus~ific~tion for your statement that
you are "unavailable" on January 6. Nor do you of teL' to produce
any documents. Frankly, I question whether you and your deponent
have any intention to attend the depositions in light of your past
record.
Nonetheless, to give you the benefit of the doubt, I will
agree to reschedule the depositions of Mary Roberts and Mr.
Arnovitz for January 12, 1995 solely to convenience you. I will
not agree to reschedule them again. I also expect full compliance
with the document request which is part of the Notice of
Deposition.
The depositions will convene at 2:00 pm at the offices of
Reager & Adler, P.c. at 2331 Market Street, Camp Hill, Pennsylvan~a
on January 12, 1995.
Finally, your statement that you never refused to produce
documents or give dates for Mr. Arnovit~' deposition is a~solutely
false. You never responded to plaintiffS' Request for Production
of Documents served on you in May 1994. Attached hereto is my
~ PLAINTIFF'S
I EXHIBIT
Roberts 4/2
1-25-95 e,.
.
.
'")
CONTINUATION SHEET No.
To
letter of July 5, 1994 demanding compliance and requesting
deposition dates for Mr. Arnovitz, to which you never responded.
Very truly yours,
~ift
RAS:pdw
enc.
o
. \
:u
'.'
".-, .:" .. L.' -.:- -'" -",'
~L .......
o
KOHNlNAST/GRAf~
.
n12321042;' 2
II 001
, ,
SENT BY:KOHNlNASJt~~~F
; 1-11-95
-,......
12:38 ;
.-
.
nUlPlfCNlo C711l"1"'.
,~ 111111414\11
.ollIl"IUClonu,'l'. .-,"'" UNIt IUll.DINCI . IIIITI n. -......... _...-...WIA .-
January 11, 199~
yn PAX
noblrt ~. swift, !Iq.
John, Nale . Graf, P.C.
1101 Markat atraet
Buita 2400
IbLladalphia, PA 19101-2924
nEI rRY COMMUNIC~tION!. INC.
VI. oNl pOINT rIVS PUBLISHING CO., INC.
Oun FILE NO. 410-922
o
Dear Mr. swift I
pleaae be adyil.a that late l.lt ay.ninQ I wal infor~aa by my
client, lIennath ArnovLt.. that ha il \lnav.iIable for the deeolition
Dn January 12, 1995 aua to circumltaneal beyond hil control. 1 am
heaitantto edviae of tha pari anal nature of the problem, but in
li;ht of our prior communicatione, 1 want to all\lra you that thi.
LI not. a delay taotio ., you have previoul1Y .Ulged, 1 &\II
prov1djng this Lnfor~ation whieh I requeat that you kaap
conUd.nUa 1.
Mr. ArnDvitz'l partner, Law MarcUI, h" be In rlcently
dia;noled with cancer ana ia \lnaargDlng ~reat.menta ana ra~ire.
con It ant medical auparviaion. Due to thau'raot, Mr. Arnovitl nuat
noW taka over all autie. with raapact to the bUline,1 tor the ti~e
being, Mr. Arnovlte hal adviled me that ha il unavai1abl. due to
tha flct that hi will be with hia olient, InlllacoO'I, all aay thil
waak with reVard to Inl.lacco'. eak- ovar of leveral ~cml Market.
in thl area. He hll dvb.a \Ill that he will be avauable any
avaning the week of January 16, 1995 or any day durin~ the waek o!
January 23. 1995 a8 ion; 81 h. receivel five 15) aey. notice in
aavaDol. I, likawil., will make mYI.lf available aurinV th.'. time
,erioal with tha exception of the week of tbe 23rd .. 1 all an
atanaby for a j\lr1 trial in Wayne CoUDty. Aotually, I am piokin;
a jury on Monday, January 16. 1'95 and cen be oalled at any time
thereafter to cOlIWena. the trial. IlDwaVer, thl Court
Adftinlatrator'l of rice bal aaviaea that, in all likalihODa, the
aat\la! trial will nc~ It.r~ until the week of the 231'4.
---- ---
~ PLAlN11,"
I EXHIBIT
Roberts 4t3
1-25-95 etl
'-..../.
, '
IlRI"" j--"- '~"'-' ';-'
Y:KOHNlNAST/ORAF ; 1-11-85 12:38 ;
"'" ;u.. "J.lii'" 'II"'1"~ll'.
.1. IGGQ
KOHNlNAST/QRAF-t
'i
71723210421. 3
1001
. I
Robert A. s,,1ft, B.~.
Page 2
January 11, 1,D5
Q
In the event that I aD in trial, I am aelurin; you that an
attorney fro~ =1 firm vl11 coyer the aapolitiDn on ane of the ahove
date. and time I .1 yau ~ay lelect. Neither I or my client are
attelllptinll to delay the aepodt1on. you are aeekinll' "I, likl"be,
would like to have thie mattlr r..olved el loon al POllibll.
If you have Any prableml oDncernlnll the reeoh.duling of the
dapallt1onl, ple..e contaat me. I will be ln the office mDlt of
thl day until 4130 P,M. With be.t rellaral, I am
Very truly your.,
SCHNBtDZR, GSLS, QOFFED
I HIeItBY, ,.C.
~.~Lu.J3. J.L. j... JI
~r:'''8~II
trHIIIllIl
CC I La" HArouI
\Cen Arnavit.
,...
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- '., ':i: (,{.it~~!i<~:'l~?; ~J~~;>;."~~it.t>~:n1" t~"!'.~~~::!7;.;~I~"i1i ;,{ ....
....t;. ~;;';~?'..J,"*~.'i~...~"h, ""1:: : .,;.~4,:",.-hr',,~~~~":.. ':ft'tJrt~.:'f?li .., ;~~......J!.~r.. 'to
. ~~,...- tft f~'r'~"'''' r.'l"''''' .~, '1. " '" '.. ....... . ,.,./- f.' " ','.- ~., (:.. ."....~ ~ .." '" ","n."
. ' , _,.... /.L, . ,'I".... -, . ....;1. '. .. ., . " . .,,~ jJ ~'. ..._..f......."" ..'. .I'.....;u ,
~..-.... .::~-::t......::~ ..;X':';:;,:. .-:?:....:.--:- ~ .......::.:: ~~._;., - -:~ .:.;:. -:.:.~~~~ttt~}b '~*ffi~1'i':Ci:- "" . ~t ~,. \':.,1"\ ,; ~
""', .. ""~-::." /" , . ,.'," '. ....,:; ; . ,:){i;'{;~rj;i::;;'t~:~;';';'t' ' ,~j~';~t :'c" '.
.: ... .,. . ./..,.:..~.::,j'~-,.t'~~,.;":'jjf..VJ"~.I..'''r~t'''';'
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,.' .. " ""':-tn'.' . - "". ,....
. .. ... r...,... . . t:. .......,:+ .'r:" ~ ':"rl".~' .
o FRY COMMUNICATIO~S; INC., ~ IN '~~~'c~~~""6~ii:~~oijt~~::-"I~Y~ijNtr.:'
) CUMBERLAND. COUNTY'i''i PENNSYLVANI .:.::....~:.... '1
plaintiff) , '" '''\";I'1l!1'!W ' ,.'-;:"'......:":
.. . ,I...<t#.'.t~~...... _. ~ ./"~J;;r'f.~ I
. ) ',' ,~".': r~,:'~'" .~bi1.ifl':'~' ,
v. ) NO. 94-CIV.:.i773i;;'J:.t'';j~~'.!>..''.;f:: '
) " - "-,, . ....
ONE POIN'!' FIVE PUBLISHING ) .., ,
CO., INC., ) CIVIL ACTION
)
Defendant )
)
o
.
U
PLAINTIPP'S NOTICB OP DEP08ITIONS
AND REOUEST FOR PRODUCTION OP DOCUMENTS
TO: Eugene F. HiCkey, Esquire
Schneider, Gelb & Hickey, P.C.
400 spruce street
suite 500
Scranton, PA 18503
PLEASE TAKE NOTICE that, pursuant to Pa. R.C.P. Rule 209
and the Order of the Court of Common Pleas, Plaintiff will take the
depositions of the following persons at the offices of Reager &
Adler, P.C., 2331 Market street, Camp Hill, Pennsylvania,
commencing on January 25, 1995, at 2:00 p.m. before a certified
court stenographer:
Mary Roberts, Fry Communications, Inc.
Ken Arnovitz, One Point Fiva Publishing
plaintiff requests that the Defendant and Mr. Arnovitz
produce the documents listed below at the above depositions.
1. All contracts and agreements between Plaintiff and
Defendant.
PLAINTIFF'S
EXHIBIT
Roberts 4t4
1-25-95 t~
o
...)
,~,-~_:-
.." :..:.:~,.' ~~f~:'" .,
" ",;r.'_,'~~l~r;r?~"'~:-'
. _ .:'. .u,' ',':,,!j..- i.. ~' ,
. \~f(~.. '._' -'.'
2. All communications between Plaintiff and Defendant:
~ ---';:';;j.,,:,:~~;p,,, < '
correspondence, notes of telephone communica~~o~'s,[; and
facsimiles.
3. All documents reflecting or memorializing trips
taken by Defendant's officers, partners, agents or employees.to
cumberland county, including trip reports and reimbursement of
expenses.
4.
All
accounting
records
reflecting
business
transactions between Plaintiff and Defendant.
S. All documents which reflect or relate to the quality
or performance of the work performed for Defendant by Plaintiff.
6. All documents which record, reflect or relate to
Defendant's reasons for not paying plaintiff for work performed by
Plaintiff for Defendant.
7. All records showinCJ the legal
current legal status (i.e. as a corporation,
Defendant.
Dated: January 18, 1995
and
of
/
I
ROBERT A. SWIFT
I.D. No. 17766
KOHN, NAST & GRAF, P.C.
suite 2400
1101 Market street
Philadelphia, PA 19107
(215) 238-1700
THEODORE A. ADLER
I.D No. 16267
REAGER & ADLER, P.C.
2331 Market street
Camp Hill, PA 17011-4642
(717) 763-1383
..7
,I)
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.'i,>#~....r: .~, <t', ":'1. 1. ~ .. "I~J'''jC, . ,. f.\J\~ t. ~
", 1\;"v:;, l~~:'~i;.'.:~J-;..i~:::(~~1~ ATIOR~~S:~~D.,C,O~~SELORS ~J, lA\V " ... I, -
"', "~" )., . , ,lr,"'"''.r..'''zir~.n''' """J)-"""l'il"I,;"'M;t;:~/NB~~toi':l_'~
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" .' 'Yo. 01 . . i~ ....'u'rHIL..rINNSYLV'"NIA17011....2* 1i''''U--:1t l~:'. . ...1.' ."'1 .....11 ....- .. 4
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TUtfAX 717-730.7366 . . ' .'.'.;~, ,4 .-:. ..::~: ~"~ ~:..:{,--~l,<
THEODORE A. ADLER'+
DAVID W. REACER
JOHN ). McNALLY, III
DEBRA A. DENISON
THOMAS O. WILLIAMS
SUSAN H. CONrAIR
RErLYTO:
January 18, 1995
1\0. BOK 717
H~RRISBURC. rA
17101.07'7
MONICA D. ZERCHER
Les"1 A"llIlnl
'Also Idmlned to D,C. BII
.
Eugene F. HiCkey, Esquire
schneider, Gelb & Hickey, P.C.
400 Spruce street
suite 500
Scranton, PA 18503
Rei Pry communications, Inc. v. One point
Five Publisbinq Co., Inc.
No. 94-civil-1773 \ Cumberland County
<:) Dear Mr. Hickey:
Enclosed please find Plaintiff's Notice of Depositions and
Request for Production of Documents.
Please feel free to call me if you have any questions.
TOW/kde
Enclosure
pc: Robert A. swift, Esquire (w/enc.)
,....) ~ -; I'LAINTlFF'S
I ~~~~~Bf 4tt
+ Cenlned as a Civil Trial Spedallll by Ihe Nallonal Board of Trial Advocaey. A Pennsylvania Supreme Coun Accredited Aseney
liIIooz
01lZ4/95 15: 11
e7173413155
SC"'U
.
.
nLll'IIONIll (717) "'14150
rACmlILll: 171Tl "'14111
o
~",
400 SPRue! n1IElIT. MILLON BANI: BUILDINO . sum lOO. lICIIAIn'ON. PBNNSYLVA1'''" IIlO3
January 24, 1995
VIA FAX
ThDmas o. Williams, Esq.
Reager & Adler, P.C.
2331 Market street
Camp Hill, PA 17011-4642
RBI FRY COMMUNICATIONS, INC.
VSI ONE rOINT FIVE PUBLISHING CO., INC.
OOR FILE NO. 479-922
Dear Mr. Williams:
o
please advised that I just received YDur cDrrespondence dated
January 18, 1995 on MDnday, January 23, 1995. AlthDUgh my priDr
correspondence requested that you give us five (51 days written
nDtice Df the depositiDn date, YDU have evidently failed to agree
tD such a request. Mr. ArnDvitz advised me Dn tDday' s date that he
is unavailable Dn Wednesday, January 25, 1995 for depDsitiDns.
Accordingly, I am requesting that the depDsitiDns be cDntinued Dn
this date.
He has indicated that he is available all day, January 31,
1995, fDr the taking of his depositiDn. Accordingly, I am
requesting that the deposition be cDntinued tD January 31st. TD
show Dur gDDd faith in requesting the depDsitiDns tD be held Dn
this date, we will withdraw Dur Preliminary objectiDns based on
venue grDunds if we fail to appear Dn the 31st as requested. We
are nDt attempting tD delay the prDceedings, but due tD
circumstances beYDnd Dur cDntrol, it is difficult, if nDt
impD8sible, tD get around the scheduling problems.
Please advise me in writing, via facsimile, as tD your
agreement tD the above tD hold both depositions on the 31st as
requested. In any event, Mr. Arnovitz will nDt be present fDr the
depDsltiDns.
With best regards, I am
Very truly yours,
SCHNEIDER, GELB, GOFFER
& HICKEY, P.C.
~nl~":f. At.~rr:
~~NE F. RICKEY'I~
o
EFH:JllIII
CC: Ken ArnDvitz
~ PLAlNnFrS
I EXHIBIT
,Roberts #6
1-25-95 tel
i.c,"'...,
,
.
.
.
REAGER & ADLER, PC
ATTORNEYS AND COUNSELORS AT lAW
()
"-1'
2])1 MARKET STREET
CAMP HILI, PENNSYLVANIA 17011-4642
717-76).1)8)
T!UrAX 717-7)1).7)66
THEODORE A. ADLER'+
DAVID w, REACER
JOHN J, McNALLY, III
DEBRA A. DENISON
THOMAS 0, WILLIAMS
SUSAN H. CONFAIR
REPLY TO:
p,o. BOX 717
HARRISBURC, PA
1710B.(I797
January 24, 1995
MONICA D. ZERCHER
Legal A"lnant
-Also admitted 10 D.C. Bar
(VIA TELB.AX ONLY)
Eugene F. Hickey, II, Esquire
Schneider, Gelb, Goffer & HiCkey, P.C.
400 Spruce street
Mellon Bank Building
suite 500
scranton, PA 18503
Re: Pry communications, Inc. v.
One point Five Publisbinq co., Inc.
<=) Dear Mr. Hickey:
We are in receipt of your letter dated January 24, 1995.
Please be advised that the depositions previously re-scheduled to
January 25, 1995, as a courtesy to you and your client, will
proceed as scheduled with or without you and your client. We will
not agree to any further continuances of these depositions.
If you have any questions, do not hesitate to call me.
:;zaours.
T~omas O. Williams
TOW/kde
Enclosure
po: Robert A. Swift, Esquire (via telefax, w/enc.)
v ~'... PLAINTIFF'S
'1';R9::~~T 4n
1-25-95 ~y
+ Ce"med as a Civil Trial Speciall.t by the National Board of T,lal Advocacy. A penn.ylvanla Supreme Cou" Accredited Agency
,
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Rell\lested by: auy Sh\l&hart @ ext.219
Lou Marcil. ct. ~a\cS ; .
Attn: Lou Marcu.
611 MollrOl Avenuo
Scranton, PA 18510
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Eatl.ated {relght to SCranton, PA... 13.1..1 per trucklold
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b. '5 Ctef. lb.. 2S x 361 . 39.:lelc.\
a PAGE Bllf 84.62 15.51
a PAGB 2C 112.83 15.13 -
. ,AliI ole 155.14 ll.U
. 'AGI !5C 113.3:1 us. 15
11 'AGE II.V ".41 31.03
l' ,AliI 2C 84.62 31.4'
1& P!IJC <lC 119.&8 32.82 .
11 PADI sc: 14'.89 32.311I
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CUSTOKER MAKE I Lou Kar~us , A..o~lat~.
PUIL1C4T%OK HAKEI SKK
QUOTE' DATil Quot. .12565 - AVIV'" 1', 1913
OUAllTlT'1a 151 He - .nrf 3 .,..k.
TlIII SIZla a 3;8 1& 18 "8 ' . _ __uu_
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Sc:hN1I1. C tor' priu.. ICln . ._
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"NEATlET TEXT '1tIHTIHII... , .
(Price. inc1l1d. pllt.. rl1ui~d :for each tor. tro. stripped
111\8. 411 pr.p IDd ln~ additional.)
Orillllll Ilepu" hnnln;
Kl lift p.r "
-.--..---------.-.------.-.---
. P4GK FORKS 2-UP BLAV4 181.26 1~.26 6.21
1/1
2/2 342.71 272.71 6.47
.c/4 &64. e2 563.61 6.99
5/5 833.71 11a8.27 7.28
16 PAllt FOilllS 153.66 9.5B
1/1 111.61
2/2 342.11 272.11 9.87
4/4 6C3.26 562," 111.65
i. 5/5 832.52 1117.52 11.0'
0 24 Or' 31 PAIII fOltllS 12.t'
111 - 1/1 3111.31 241.:11
2/1 - 2/2 594.02 364.77 12.99
.' 4/ot - 2/2 844.53 744.53 13.93
./4 - ./4 1129.21 819.28 15.17
V.C11 COUlR f'LA TE !lOT USE!) -35.08 -SS.00 ,8,11
--------------.-.---------------------------------------------.-.-..-.
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IAll color ia all web !o,.. to b. billed
Oft . p.r color per plge. NQ charge tor
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EACII 2C PROCESI PAGR
EACIl 3C PIlOCESS P AIIR
EACIl ole PIOCUI PAG;
ADD'L PER 'AllC 'ER lXI.OR FOR PIIS COLORS
ADD'L PEl 'AG; Ptlt CQLQJI FOR llETALLIC COLORS
FLAT CllARlII FOIt EACH PlIS COLOR USED
FLAT ?ARGC FOR EACH mALLIC COLOlt USED
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........'" "'r.... r~ f1teIl/T """'" >....
1 ~ f}/!:trf St+f P "
i\~J {VIJ(}S
Fry CommunIcation.
. \
Oct-181m 10:\lSA'1 1'03
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ftnzalrama O~PQI"" Fcue: =t\P.l.I~U; C>>. 1A:e
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CIQo. 'tatu,ZIJI Codtlfo. --n..AAho., 1>,6. 1B!!;01-12~ PJaolUl/i0.117-.?-u, .~
Pwmc:rOl'Ollhf'l'nllM~ -- /1?SJI) -12.1 c::
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It 1II0re thaIl OCI OOP1 0( la\'D.... Ia ,~ pIcIIo IIldloate
Othu,"oIa1 ~o...
If.tan otll....,-ce. -~ Eow JoDlID b\l.llQc..
Corporatloll -.X PlrtaCIJhlp lIoIt '1'ndcr IlI1D . Brad. Ratfal___
Nasa. 11I4 f'lUea 01.......-.. OfBDIIA_lIfIlOleTNda; UalSpouO.1
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~ PLAINTlPP'S
I EXHIBIT
. Roberts 419
1-25-95
Mr. Lou Marcus
Lou Marcus and Associates
611 Monroe Street
Scranton, PA 18510
.
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61
FRY
PuBUCATlON, CATALOG AND
BoolC PRINTING SPEOAUSTS
November 16, 1993
Dear Mr. Marcus,
Enclosed please find a copy of your fully executed contract for your
records.
"
We enjoyed working with you on this project and sincerely appreciate
your confidence.
If you have any questions, please feel free to call.
Sincerely,
/~~ ;;( v'~4- ".,",
Gary L. Shughart
VP/SaIes
GLS:evs
enclosure
~
:~1;('P~JNTlFF'S
./.. .> EXHIBIT
':1 ~berts 4/10
1-25-95 ~tI .
fRY COMMUNICATIONS,INC.
800 West Church Road, Mechanicsburg, PA 17055
Telephone: (717) 766-0211 Toll,free: (800) 334.1429 fAX: (717) 691,0341
.ft~..
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From: LEIJ MARCUS & RSSOCIATES
PIOE No. : 717 346 8090
Fe!>, 02 1994 3: 37f'M P02
.
MCflGt.z fN t
..........................................
,
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MRMO
TO:
Ken l3uuhl
CUlilUIIlCl' Stl'vh;c MIl.llllgcr
FROM:
Low MlIl'CUll
DATE:
O~tubtl' 18,1993
As pol' our (;OllvCl'liutiulI oflOtlllY, 1 11m pre:se:nting you with:
1. Sign uff on l'mposlIl 12585 {br Publication SMM, updated to
refle:cl the run on SOft instead of 40# Carolina
~
2. Estimated Revise on Production Schedule
3, Credit Applicrdion
All J also explained to you, the banking infonnatiol1 011 the Credit
Appliclllion has hee:n intentionally left blank beClluse we have yet to open
our operating accounting. The IlIwyer~ and accountants have changed their
minds yet unolher lime: and hove finally agreed on a corporate structure.
Thal cnlily, One Point Five Publishing Co., 1ne" has been established and is
being incllrporated, Banking IIccou,llb lire being e:stablished this week.
"
My proposal to you is that we: will present you with the following Deposit
lInd Payment Schedule: 1. 1/3 payment upun lIubmilisilln uf materials; 2"
1/3 payment prior to press rUI1~ 3., finul paynuml prior 1.0 nex1 run,
We will be constantly updating you on arrival of materials. Thanks fur
making it casy for usl! I
it
~ . PLAINTlFF'S
I . EXHIBIT
Roberts 4t1
1-25-95 U
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M~GA Z I N E
. '
Fry Communications Inc.
Gary Shugar
800 West Church Road
Mechanicsburg PA 17055
December 22, 1993
Dear Gary:
We are requesting you to intercede with Mary Roberts to help build a
reasonable and mutually beneficial relationship, Because of Mary's stringent
requirements, we find ourselves in a difficult position.
Based upon our initial discussions, we believed that we were going to receive
terms of payment that allowed for one-third payment terms for 30 to 45
days. At the last minute of our first job, we were informed that Mary had
determined that full payment must be made before shipping. Subsequently,
that was relaxed and Mary accepted checks for the balance that were
deposited the following week, In other words, 50% of the job was paid in
advance and 50% of the job was paid within,10 days.
On our second job, we made payments in advance totaling more than 2/3 of
the total job, believing that the 1/3 balance would be due before our third
job. Again Mary interceded (as I am aware is her responsibility), and
demanded full payment before printing. After too much discussion, Mary
relented and agreed to ship the job if we, again. forwarded her checks for the
balance due.
However, Mary informed me that she would not allow this to happen again,
So, in effect, instead of gaining credibility and building a positive
relationship, by having purchased and paid for almost $40,000 worth of Fry
services, we find ourselves confronted with a stricter set of payment terms
for our third job,
I want to make it clear that we respect Mary and the job she is trying to do
for Fry. At the same time, reasonable flexibility is all that we have requested.
After ~ PLAINnFF'S
r EXHIBIT
oberts 4/12
PO BOX 1215 Scralllon PA 18501-1215
(717) 346-0603' Fax (717) 346,8090' 1-800-346-0025 1-25-95 ~
Page Two
all, we have never suggested straight credit and have always forwarded 50%
to 65% in advance, What great risk are we asking Fry to take to help us be
successful?
We also have tried to be an amiable account and have demonstrated
complete flexibility with Fry.
Another key factor that concerns me is if we are unable to reach a reasonable
solution that the good will our new venture could have had with another
company through the first two jobs, as well as having to go through the
stress of re-establishing our work at a new facility, would be quite expensive.
o
We are writing because we want to be at Fry. Despite whatever difficulty we
have had in the early going, a mutually beneficial relationship can still be
had. After all, it was you, Gary, who sold me on the benefits of working with
Fry after we had selected another printer. What impressed all of us the most
was that Fry stressed it developed personal relationships beyond business
relationships and that we would not be just "another job." However, we are
keenly aware that all business comes down to dollars and cents. Yet, we do
not feel that what we are asking from Fry is an unreasonable request.
This is only the beginning for us, As we explained, this magazine is a
prototype, The only way we can achieve the success we envision is by
building partnerships based upon good business,
Please get back to me as soon as you can so that we can understand what
road is ahead of us and where we are printing.
Be~ wishes to you and the entire Fry family at this holiday time,
v
Most sincerely yours,
~ ~~,-~
low Marcus, President
One Point Five Publishing Limited Partnership
cc: wm. lowe
t"' ,. ';.
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M~tA Z I N E
..........................................
Fry Communications
Mary Roberts
Controller
800 West Church Road
Mechanicsburg PA 17055
December 16, 1993
Dear Mary:
Ylo - pq- ~l/ N>
\Yko ~~ V'"
MDJt....~
~pwt ;1500 &. ./
J. AO '/1.D
~pwt OUJDO ~ J
7t1lC~ '12 I
,
Thank you for your extra-ordinary consideration today in keeping the presses
running and our business in business.
Enclosed you will find two checks I both dated for today, in the amounts of
$2,000 and $2,500. Please hold these checks until we telephone you to deposit
them.
Again, than)c you.
Most sincerely yours,
~~(lt- ~ -
Lew Marcus
Editor
- - -. .. - - . -. - q- - -.- .
PO BOX 1215 Scranton PA 18501-1215
(717) 346,0603' Fax (717) 346,8090' 1-800,346-0025
~ PLAINTIFF'S
I EXHIBIT
Roberts 4114
1-25-95 @~
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I 1-25-95 tU
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Fax
Fry
Communications
c
Our FAX number:
(717) 691-0341
From:
.="'&A1~~5
'I d~'IXHIBIT' . .
. ~~i~~;/16
To Company:
Attention:
FAX Number:
No. of pages including cover sheet
,
Date:
I I
~/d/19t1
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~ PLAINTIFF'S
I EXHIBIT
Roberts #17
1-25-95 tV
M~GA-n Nt
................~II.~...'.................
FlY Cummunications
Henry }o'ry
800 West Church Road
Mvchanicsburg PA 17055
'ZRf-FA}C.
VIA FAX TRANSMISSION
Fcbroozy 2, 1994
---
Dllar Mr, Fry:
-
As opposed tu Mllry Roberls' n:visionism. here is the Agreement t]lll! was
worked uul with Dill Lowe su Ihut the tcrms he suggl:sted would bc
il11plemen((:d, It Was Bill Lowe who told us to put it in writing as 11 rcquesl
and send it to Ken Buohl for his fonnal approval; that the matter had already
been approved. .
At no timo, unlil our first job was on the dock, were we givcn any
infonnatj(l11 to the conlrlllY and had the right to believe that the Memo to
Ken Buehl WIIS in effect.
Your chllrllcteri7.atioll is accurllW, We, indced, have been the victims of a
bait-and.switoh,
IL is our position that if Fry is lInable to live lip to itl! original commitment,
we have bct:n seriously daml:tgt:u. As we lire forced to find anotllcr printer,
you also will bo forcing us to PUISUC;; Iht: appropriate redress for our
damages.
Most ~lIccNIY yours.
1~-~1
KIm Arnortz.
one: buohlmcmo of oct. 18, 1993
1'0 1I0X 121~ 5",,,1\1" I'^ 1~5ol.121 ~
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FRY
PUBLICATION, CATALOG AND
SOOK PRINTING SPECIALISTS
Q
One Point Five Publishing
Attn: Ken Arnovitz
611 Monroe Ave.
Scranton, PA lS510
February 4, 1994
Dear Ken,
.
In response to your "faxed" letter to Mr. Fry on February 2,
1994, which reiterated in part our conference call earlier that
day with you, Mr.Fry, and myself, I present the following.
First, I take umbrage to your statement that you "have been
victims of a bait-and-switch". We have given you a quality product
and exceptional service, at competitive prices.
Second, One Point Five Publishing currently owes Fry
Communications a balance of $6,042.04 for the production of the
Insalaco's Maaazine. You have declined to comment on how you intend
to pay this balance, or if you have any intentions of doing so.
You have obviously decided not to place new orders with us
under the same terms as in the past. We feel that you have
benefited from our service and made a profit from our product.
Therefore I respectfully request full and immediate payment to
clear this account from our books.
Sincerely,
O'n~}ull ~,{j
Mary L. Roberts
Comptroller
cc:
H Fry
encl.
o
"~"" PLAINTIFF'S
"'L: EXHIBIT
., . ROberts #18
1-25-95 ~
FRY COMMUNICATIONS, INC.
800 We~t Church Road, Mechanicsburg, PA 17055
Telephone: (717) 766,0211 Toll-Free: (800) 334,1429 FAX: (717) 691-0341
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M~GA-ZTNE
t......'...I.........I~...............t...
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FAX TRANSMISSION SHEET
TO: ~~'/ COM.M\,)~\ CATIClr-~ S
IE:.\) \J A^_) '1:> EL.:-r-
FROM: t:€;,-~ I\e.W LJ 1.,'2-
DATE: 2/8 ft4- TIME: ?.:<+o~M
NUMBER OF PAGES INCLUDING THIS ONE: .:3
,
IF YOU DO NOT kECE1VE ALL OF THESE PAGES OR NEED ASSISTANCE
IN CONNECTION WITH THIS TRANSMISSION, PLEASE, CALL OUR OFFICE
AT (717) 346-0603.
MESSAGE:
0) PLE:l\~ ca"{ 7'lf1'~ i r DGLI U6:\C. , 'T'O MK, R?q ~'. MA.JlA.f f-CA2. lA.,~.
(!> YOr).. A..Jl.e 'fQ.l;'.b'-rO ,.M4'l(l A COit{ Fur, \'f~ c."""t.., ~-'Il.'.' ~,
(j) \.lJG" ~\lL(., ltlhlt... A.O\' 12SiC.':G'7Vt:. D nte; .h1A:n::,e.LA-(..~ l:rl..c.Y>
1\\~", /,;t~T- I SS'-U'
THIS MECS40f III INTENDED ONLY rOil THE USt U~ 1l1E INDMDUAl ENTllY TO vo"j/CH IT IS ADDRESSED AND
MAY CONTAIN INFORMATION THAT IS PRIVilEGED, CONFIDENTIAL AND EIIEMPT FROM DISCLOSURE UNDER
APPLICABLE LAW, IFnlE READER OF THIS MESSAGE IS NOT THE INTENDED RECIPIENT, OR THE EMPLOYEE
OR'AOENT RESPONSislE FOR DElNERING THE MESSAGE TO THE INTENDED RECIPIENT, YOU ARE HERESY
NOTIfiED THAT /lH'( DISSEMINATION, DISTRIBUTION OR COPYING OF THIS COMMUNICATION IS STRICTLY
PROHIBITED, IF YOU RECENED THIS COMMUNICATION III ERROR, PLEASE NOTIFY US IMMEDIAfEl Y BY
TELEPHONE AND RETURN THE ORIOINAl MESSAGE TO US AT THE ADDRESS BELOW VIA THE U,S, POSTAl.
SERVICE,
1'0 1I0X 121S 5....11.1111 J'^ 18Snl.121~
..
". ,.LAINTlFF'S
I' EXHIBIT
Roberts 4119
1-25-95 ef.;
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M~tAZTNE
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Fry CUllllnUnicllt10ns
Mlir)' RolJcl1s. Cmnptrollcr
800 West Churcb RUlld
Mechanicllburg PA 17055
.
,
February 8, 1994
VIA FAX TRANSMISSION
,
Duur Mw'y;
In response to your Jettel' of February 4. 1994. J ,~w lilld I pn;1>ent the
following:
o
1. Whilc ynu Uike umbrage, yuu filiI 10 idcntity th" prill/llry Llrc;a ,.,f
cunlentinl1. which Wlilll1't pruduct, lit:rvict: ur pnw. but, j'uthcr. fuilun; of Fry
to honor its commitment as related to cre<.lillei'mli, ] 1111111 WHllt (0 rcwiud yuu
tbat "bait and switch" was Henry Fry's obseIVo!i\)n, with which I must nllW
concur.
2. The other point which you addressed in the letter is that orthe butallc\). AN
you and olher cmplnyee;:ll IIf Fry arc well KWllrc, IInc of Lhc two issucs Lhllt
WIiS tu be n;sulvcU lit the Pebruary 2, 1994, lIu;eLing was tll\; uulslulI\ling.
balance. We never declined comment and. in pllinl uf flict, ] ,t:W infllHnt:d IIIC
in 0 conversatillll that he had with yuu thlll yuu lold him "pay hlllr VI' pay
whatever you want Clllthc balance Ilnd we'll close the books on this nccount."
Your attitude was that you saw 110 need for a meeting tll rcslllvc qucstions lln
the b4ltmoe.
.J
3'. I cmdd nol i\clp butllotice your comment at thc cnd lIfyour ICllel' that YllU
want to "clear this account from our books." That seems to be at the heart of
the PlvblclII. It hus lJcclI tJlis desirc VII your pHrlLhlllluiS created II plllulclII
umJ hus been Ihe self-fulfilling prvphesy Ihal I wHmell Bill Luwe HbllUI Hfier
the impassc al the tirst pross !'un.
~ PLAINTIFF'S
I EXHIBIT
. Roberts 4/20
1-25-95 t~
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rr.... I LCIoI /'flnCUO & A:rAX J ATCO
,
n DC 110. I i'1 i' J.4G 0lY.l0
rcb,DQ 1m "I"~ ro1
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4. Also )'ou ,;IHlu thai we have "obviuu~I)"1 dllOidod 1I0t l\, pl"1l new ordor.
undor tho lamlt WfllIlI 011 in the (\IlIII. Again. thllt ill the prublum, 'I'lall tllll1l5
wo were KivuII uro difToflmt thon thu terma yuu chollo to ill\f\C"lc IndllY,
'rllu (11I1)' thing thllt should bu "u"vi~lu~" 10 YDU is Ihat Lcw IUld I huye
~lru8s'ed to keep .hls rc:lill.iClllfihip lInd nil we IIsked is fur Fry lu livo lIll In illl
oommitmonts.
o
It ill 1I0t our desire 10 eh:ur Ihi:l lWllUuul U'Olll yuur bOClk5 hul to, lIol1lchow,
..Iyuse this rel/ltiollldlip Ilnd nnt incur tho e()!I111 of a relatiollship wilh Ii uuw
luinter, IfnmhruBIl NhClUJd bo taken, il Nhnuld bo tllkC\n /It )'(lIIr unwillingllell/l
10 bo rOllllonllblo ond )'our roviGionillm, Ifumbrllgo lIhouJd he tnklln, it ~hCluld
be \llllol1 at )'I.IUI c:hullIlituri7,lIticrn, thut c.unlC from scc;uml hond knowludgo, in
our three-way conversation with Mr. Fry, Yuu :l11I1c;J many thinAS /IS fDet
that were illllcC\lrate and damnging ill fwnl. uf Ille nile Illan who could
rcsolvu thill pf<lbJem, We also take umbrage of the generol chal'acll:ri/.llli(lIIs
you bav~ made; dospilO Illinilllul dl;llljllg~, Yet ono more point thut JllU~t bo
made Is the rc:ulil)' lhlll we hllvu pllid UUI' l.Ii11s ill .. lilllely raslai~11I (Lc;ul'. lllilll
what wns Agreed Tll). have heen extremely flexible. Ilnd even l)Juu~hl ill
anolher accuunt which has accounted 10r over Si25.0()(l wurlh uf f'Hid
business, Hardly should wo hovo boon trllDlllU lhu wuy lhul we huyu,
What we wllnt and whal should be /11 plllce is II IWO"WIIY relulillllship when:
we can continue To bring our business, as well os olher lu.:euunlll. inln Fry, ill
rlllum for which Fr)' liws up 10 illl c;ummillllunls um! givlls us 0111' dUll,
Louking thrwllnllll Yllur reslIlulilln so Ihal we mllY schudule llur IIcxljub
Hccurllillg II,) 0111' lilll~.lllbl",
MU1;,"7/"35--
Ken Arl10vitz (J
co: hUllry fry
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FRY
PUBLICATION, CATALOG ANO
BOOK PRINTING SPECIALISTS
~
One Point Five Publishing
Attn: Ken Arnovitz
611 Monroe Ave.
Scranton, PA 18510
February 9, 1994
VIA FAX (717-346-8090)
,
Dear Ken,
I am in receipt of a copy of your fax transmission regarding
a resolution. Though it is of great length and sophistry, it does
not address payment of the balance due Fry Communications of
$6,042.04.
o
Any payment reductions previously discussed with Lew have been
negated by full explanations of all charges presented, and
therefore withdrawn as unwarranted.
Lew's "proposal" of payment terms accompanied your Credit
Application which had llQ Trade ~ Banking references listed. Good
business practices simply would not allow anything other than pre-
payment terms; and he was informed of such.
Ken, I do not see a resolution to this matter unless you are
willing to pay the balance due immediately and continue on a CASH
basis.
On the other hand, if you wish to call and make arrangements
to pick up your material, we will terminate relations and turn the
balance due over to our attorneys for collection. Please advise.
-fh:;:;/~
Mary L. Roberts
Comptroller
~
cc: H Fry
encl.
FRY COMMUNICATIONS,INC.
800 West Church Road, Mechanicsburg, PA 17055
Telephone: (717) 766.0211 Toll-Free: (800) 334,1429 FAX: (717) 691,0341
'~.PLAlNTlFF'S
.., . EXHIBIT
Roberts 4/21
1-25-95 e.
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~ PLAINTIFF'S
I EXHIBIT
Roberts 4122
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PO BOX 1215 ScranlOn PA 18501,1215
(iI7) 346,0603 . Fax (il 7) 346,8090 . J ,800,346-0025
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lo'ay Communications
Henry Fry
800 West Church Road
Ml:(;haJlicSbUl'8 PA 17055
;
Fubruary I, J !J!J4
VIA FAX TRANSMISSION
!~;j!:PI.AINTIFF'S
-,- :i,""_",,,'--
l \'i(EXHI8IT .
)J~~~~~ts fJ25
'1-25:"95
Dear Mr. Fry:
There IIrc tt couple critical issues IInd several less.thlln-critical but still
importaut i!l!luc!l which should be addressed, You arc uln:u.dy IlWttre of our
distress via tJlO IIIcssuges we have left f(ll' yUU.
Firlltllnd foremost is thc willingness of the reprcsentn.tives of Fry III damogc
our start-up venture. It should be Ulltdc elcllJ' Ihllt Fry sought out ollr
busincss and that we have never been anything but honest . and
straight/hrward. We kept it no secret that we arc a start-up company and, in
fact:. because lIfl}IC JbrLhclIIning snles pitch of Fry, we negated It relatk1nship
that we had e:sLahlisht:t.I wilh anothel' fine printt:r.
1'11\: kcy factor in Fry Winning us over was the assurance of flexibility,
especially as it related to tellns. Of course, being business lIIell, we never
wanted FI')' to take llll undue risk anu havc ncver, to thi~ day, requested
tonns that wuuld be eunsidered IInreasonable: in nny businessfEsst:ntially,
the terllls agreed upon whel'~ 213 b~fore shipmt:nt and 113 prior t(l the
foUowingjob, 1I0t Lo exceed 30 days,
When we made the decision to gu with Fry, this was the critical dllcision in
the stn.rt.-up of the business, And as you sold Fry to us, we sold Fry 10 our
limited partncrs, We prubl:lbly embellished all of the things that We believe 10
be advantages of Fry to our limited partncrs, Nl\W YllU arc placing us ill the
awkward position of having t,) l'ctract (Iur key decision and making liS look
jncompelc.:lIt to the only Set of limited partners that we have, Thc success of
our business lies :sulely ill tht:ir confidence in 0111' ability to negotiate ilnd
make respunsible deeisiOlls un their behalf. If we arc forced tll make n
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'change it will shake the cunfidencc of those pllrlner:! and jeopnl'di1.o ('Jur
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"Sl'owth.
We now find ourselves in the position of having lllrietel' und stricter termll
enforced in cllch printing and hllve cuntinued to llleet them, dCllpile Ihe fu.ct ,.
Fry agreed originally to 1Il0re reasonable terms, Thl: liglJtcning of the:;o
terms up to now have always oecurn:d uncI' the fact, nut allowing \IS un)'
reasonable alternative bUL t.u lIIl:ut them, Therefore. ailer having given Fry
$'0,000 worth of business in the IlIsl fuur months, all paid for, We lire luld:
!lFry's way or the highway."
We must now go through all oCthe Ctl~tll, which we absorbed, in develllpiug
a relationship with a uc:w printc:r, Abu, (IUt graphic designcr will hu\'c tu go
through a similar Icarning curve with 0 neW printt:r. AdditiuJll1l1y, we
purchased speeifil: hllrdwul'c aud s(.ftware recolllmended by YUUI' tl:chnical
people to make us compatible with Fry. . Also, liS Tt:u Vlln Pclt will tell ynu,
we have continued tll improve llur llubmissionlltu tbe point where there arc
almost ntl AA's and cVt:r)'buuy k.lluWll what you need and whllt we want.
Now, we ure confrunted with having to go through thiN all nvt:r tlgllin, AmI
tht: ullimute question is: Why?
We overcamo the traditional eurly problems, We IlliVC built II g<Iod
relationship and an excellent business relationship in every J'espl;X;t, willI the
exception of the problems developcd in Ilud Ilmund the mlllll:Y iS~lle. And
what is the issue? At no time hilS Fry ever been III risk uf lusing u p\:llny, )lei.
we ure trelltetlllll thil:Vl:s ur seht:ish:rs lryillg t(l get away with something.
1 also would note thnt through our designer, III uur r~unllllelluati(JIl, we
have brought two other jobs into Fry, tlltalling over $25,000, and have given
yoar soles pCfSll11 severlll lellds -- because we believed we had 0 rclatitlllllhip.
Why would yuu lrelll Ull Ihis way'/ "
In l.erlllllllf Ilny dimcullies Fr)' believes we have caused, ill a business sense,
I would Ulllll note that we have always shown maximum flt:xibilily IInd
rcason, Thill hllll heen true in monelllry III1U nun-monetary illsucli, We have
never done anything to mob it difficult.
~
rrOfll I LOJ I1MCI.r.i & A7..ocIATCO
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On the ulher hand, Crom ,hc firlll rclrcllt of FI)"H con\mitmenl \u \I~. Fry has
trilKllu Ill"to II &elf.fullillin8 Pl,<>phe.y of \IS b(.ing difficult or, worGc yet,
:I(/I\1C(IIIO who would c:onlrllot for buuinoPIl ond nol pay lhll bill .. which, ~.f
wurse, is l\I)t truo IInd wilh yuur ~ix'l\Ionth oxporic:nco with \19 cloorly
demonstr8Jc~ iN nut tho c.ase.
".
."
BUllW upon ~~ur lIIootinsft with I.'ry, wo had tho right to expoct bllt1er,
J .es~er i!\!\uc~, bUI none the Icss important, are thnlle (If lh" lItlitudc of FlY in
that there seem~ to be no rcalizntil.n nf the prohlems you arc creating for our
company, liS 1I1I~\dc4 to nbovo.
,
.
1n 11 reasonable busincss.like fashion to resulvu Ihus" i55U\l~, Ted Vall l'elt
cstAb!i,hc:d a lllc.e.linS thllt WIIS to lake pI/Ice on Fehruory 2, 1994, In Ihe very
101lsI, we cuuld hove received IIllNwerA to our qUllGli~,"A, occC!'pt YO\lr ediclll
and part 1\5 fricnds dcspito thc damage, Even Ihu llIuuling WUlI duumed by
FI)' to be IIn crrnrl nlll wurlh milking,
o
Unfortunately, iustead llf Ihe poshivc, fruilful business rclnljl)n!:hip which
Willi U1king hold, FIYll handling of our account will l:erlllillly luw.l us iutu a
courtroom whcre wc Ciill ruilll fin)l.~rli III CIIl:h ~llhoJ', Why w(.uld Fry (im;o
lhi>> dil'llL:livn upon il>>\:I!7
While we have ncvcr mct you, who YO\1 aro and what you have d\lne:, liS
cummunicllwtl III u~ by yuur umplu)'uc~, h"~ l\llld U~ lu uulillVIl Ih...t )'IIU
wuu!lIncvcl Iil1l1CliulI lhc k.illl1 \If II!JU)C lu which WIl havll UCCll )u~icclcJ,
We clilllhfs 111 Yllllr /llIclllilm inlhc hllpe lh/ll YIIU Clin rescue lhe: n:lulillllshiJl
thlll we want and were: uriginally Ie:ad Iu believe we hw.l,
We wl'lul<l /ljlplcciulc UII Iiwi1\ II ICSpt'JIISc as pussible Sf' lhat if we are
cl.lmpclled tu chllnllc prinLl:rli wc clIn mllke uther IIrf1lfillemenls, Yuur pulicy
changc ofthill n\or,nillg calling for certifie~ funds in <<dvant'.e is not workable,
as I am r.uro you unde/'llland,
..
Most sinocrely yours.
,
~ tiLlJ)~S
~ Marcus
Edilur
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l~^f1&
O\:/II:rl11 Mlinll~\:r
I"",)
.
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REAGER & ADLER, PC
ATTORNEYS AND COUNSELORS AT LAW
'.
HJ 1 MARKET STREET
CAMP HILL PENNSYLVANIA 17011-464)
717,76].1)8J
TlLlFAX 717,7]0.7J66
THEODORE A. ADLER'+
DAVID w, REACER
JOHN ,. McNALLY, III
DEBRA A. DENISON
THOMAS O. WILLIAMS
SUSAN H, CON FAIR
REPLY TO:
February 7, 1995
P,O, 80X 797
HARRISBURG. PA
17108-0797
MONICA 0, ZERCHER
Lesal Nllltant
-Also admitted to O,c. Bar
t
Office of the Prothonotary
Cumberland County Courthouse
One Courthouse Square
Carlisle, PA 17013-3387
Re: I'ry communications, Ino. v.
One Point pive Publishing co., Inc.
No. g4 civil 1773 \ Cumberland Countv
Dear Sir/Madam:
Enclosed please find the original transcript of the deposition
of Mary L. Roberts, which was taken on January 25, 1995, pursuant
to the Order of the Honorable Judge Oler. Please file this
transcript and include it as part of the record in the above-
captioned case.
If you have any questions, please do not hesitate to call me.
Very truly yours,
Jknl1t;t0> {C lU;.J!ha 1U-J
Thomas O. Williams (~~)
TOW/kde
Enclosures
pc: Eugene F. Hickey, II, Esquire
Robert A. swift, Esquire
.
+ c..llned a. a Civil Trial Spedall., by the Nallonal Board 01 Trial Advocacy. A Penn.ylvanla Supreme Court Accredlled Agency
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}
FRY COMMUNICATIONS, INC., } IN THB COURT OF COMMON PLEAS
} COMBBRLAND COUNTY, PENNSYLVANIA
plaintiff, }
}
v. } NO. 94-CIV-1773
}
ONE POINT FIVB PUBLISHING CO., INC} CIVIL ACTION
}
Defendant. }
}
PLAINTIFF'S ANSWER AND NEW MATTER TO
DEFENDANT'S PRELIMINARY OBJECTIONS
Plaintiff, Fry Communications, Inc. ("Fry") responds to
defendant One Point Five Publishing company, Inc. 's Preliminary
Objections as follows:
1. Admitted.
2. Admitted.
3. Denied as stated. The negotiations took place in
both Cumberland County and Lackawanna county.
4. Denied. To the contrary, the contract was accepted
by Fry in Cumberland County and Fry'S performance took place in
Cumberland County.
5. Denied as an unfounded conclusion of law.
NEW MATTER
6. Pursuant to Rule 2179 of the Pennsylvania Rules of
civil Procedure, where a corporation is a defendant venue is proper
in the county where the cause of action arose or where a
transaction or occurrence took place out of which the cause of
action arose.
7. The printing services furnished by Fry occurred
,'..
.
entirely in Cumberland County where Fry has its printing plant.
8. Payment to Fry for its services was to have been
made by defendant in Cumberland county.
9. During the course of the agreement Fry stored
materials for defendant in Cumberland County.
10. Defendant's officer came to Fry's place of business
in Cumberland County in connection with the performance of the
agreement and to pickup defendant's materials that were stored at
Fry's place of business.
11. Since the causes of action asserted arose here and
events upon which the causes of action are based occurred here,
venue is proper in Cumberland County.
WHEREFORE, Plaintiff prays that Defendant's Preliminary
Objection raising improper venue be overruled and Defendant ordered
to answer the Complaint within ten (10) days.
-~~
Robert A. Swift
I.D. No. 17766
KOHN, NAST & GRAF, P.C.
suite 2400
1101 Market street
Philadelphia, PA 19107
(215)238-1700
Attorneys for Plaintiff
Fry Communications, Inc.
--
VERIPICATION
Mary Roberts, Comptroller for Fry Communications, Inc.,
affirms that the facts set forth in the foregoing Answer to
Preliminary Objection are true and correct to the best of her
knowledge, information and belief.
I understand that false statements are subject to the
penalties of 18 Pa. C.S.S4904 relating to unsworn falsification to
authorities.
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COMMONWEALTH OF PENNSYLVANIA
OF CUMBERLAND COUNTY
o
FRY COMMUNICATIONS, INC.,. CIVIL ACTION - LAW
PliIintiff, I
.
VS .
.
ONE POINT FIVE PUDLISIHNG.
COMPANY, INC., I
Defendant. . HO.: 94-CIVIL-1773
. : : . . . . . . . . I . . . : : : . . . . . . . . .
. . . . . . . . .
Q
WITNESS:
KENNETH MARC ARNOVITZ
DATEI
WEDNESDAY, FEBRUARY 2, 1995
LOCATIONI
400 SPRUCE STREET
MELLON DANK BUILDING
SCRANTON, PENNSYLV~~IA i:
c:
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r'1r.r: r~ . --.I
;r:f'f' 'r"
LAURA LEE LAKES, ~R;::;
NOTARY PUBLIC ?~:~u N
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REPORTER.
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G ~ G REPORTING AGENCY, INC.
701 SOUTH MAIN STREET
OLD FORGE, PENNSYLVANIA
(B00) 624-BB11 - (717) 457-8811
A P PEA RAN C E S:
Q
For the Defendant:
*
Exhibit No.
ONE POINT FIVE-A
ONE POINT FIVE-B
ONE POINT FIVE-C
ARNOVITZ-A
ARNOVITZ-B
ARNOVITZ-C
ARNOVITZ-D
*
Q.
r:.....,.~,.--..:...;.,
SCHNEIDER, GELB, GOFFER & HICKEY
EUGENE F. HICKEY, II, ESQ.
400 SPRUCE STREET
HELLON BANK BUILDING
SCRANTON, PA
*
*
E X H I BIT S
Description
NDtice Df Deposition.
Letter, 1/27/95.
Letter, 1/30/95.
NDtice of Deposition.
PropDsal.
TerMS and conditions.
Letter, 11/16/93.
*
*
I N D E X
Direct exaMinatiDn by Hr. Hickey .
. . . . . .
*
\.J
*
*
*
Harked
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*
Page
7
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''r;~)~;;.A,i,.
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HR. IIICKEY:
3
We're here today for the
.,
-
purpose of t~kiny the depositiDn of Gary L.
<'
3
Shughart, S-H-U-G-H-A-R-T. A DepDsition Hotice
4
to Hr. Shughart, Vice President Df Sales Df
5
Fry, F-R-Y, Co""unications, Inc., was sent to
6
Hr. Shughart care of Tho"as O. WilliaMs,
7
Esquiro, at Reager, R-E-A-G-E-R, ~ Adler,
B
A-D-L-E-R, P.C., at 2331 Harket Street, CaMp
9
Hill, Pennsylvania, 17011-4642, with the
10
Deposition Hotice being served on January 27th,
11
1995, via fax and U.S. Hail.
12
A copy Df the DepositiDn Notice will be
13
"arkad as One PDint Five Exhibit A, and a copy
Q
14
of the letter dated January 27th, 1995,
15
addressed tD Hr. WilliaMS is Marked as One
16
Point Five Deposition Exhibit B.
17
The deposition was scheduled to CO"MenCe
18
at 10 a.M. in the offices Df Schneider, Gelb,
19
Goffer ~ Hickey, P.C., at 400 Spruce Street,
20
Scranton, Pennsylvania, 18503 at 10 a.M.
It is
21
now approxiMately 10:41, over 41 "inutes after
22
the scheduled tiMe of the deposition, and Hr.
23
Shughart nor his counsel have appeared as of
24
yet.
..".;
25
We have nDt received any phone calls
G ~ G REPORTING AGENCY, INC.
717 457-8811
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froM Hr. Shughar~ or his counsel, ThoMas O.
WilliaMs, concerning ~he s~a~us of ~he
deposi~ion; however, a le~~er was received froft
TheodDre A. Adler in fty office, ~he le~~er
being da~ed January 30~h, 1995.
The le~~er
s~a~es ~ha~ Hr. Adler is in receip~ of MY
le~~er and No~ices of DepDsi~ion in ~he case.
I'M going ~o read ~he en~ire le~~er in~o
~he record jus~ so ~here's no ftisunders~anding.
"Dear Hr. Hickey:
We're in receip~ Df
your le~~er and no~ices of depDsi~ions in ~his
case.
Twice we have no~iced YDU for
deposi~ion.
Once was rescheduled a~ your
Q
reques~; and YDU failed ~o a~~end ~he o~her.
Your presen~ ac~ion is no~hing bu~ an a~~eftp~
~o fur~her delay ~his case frOM proceeding ~D
15
16
17
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~rial.
Hoveover, ~he scheduling of ~he
deposi~ion in Scran~on concerning li~iga~ion in
Cuftberland Coun~y viDla~es ~he Rules of Civil
Procedure and CUMberland Coun~y case law.
"YDU have also failed ~D respond ~o
Fry'S discovery, in viDla~ion of ~he applicable
Rules of Civil Procedure.
You were served wi~h
Teques~s fDr docuften~s in June, 1994, and,
despi~e repea~ed reques~s, have refused ~o
~
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his client. Hr. Shughart. was unavailable for
depositions on today's date February 2nd, 1995.
Just so the recDrd is clear. there has
been no atteMpt by either Myself or One Point
Five Publishing to delay Dr hinder the
progressiDn of this case.
Just so the recDrd is clear. these
depositions were being scheduled at the urging
of the cDurt fDr the HDnDrable J. Wesley.
W-E-S-L-E-Y, Oler, O-L-E-R. Jr., Judge of the
COMMon Pleas Court Df CUMberland CDunty,
pursuant to his Drder dated DeceMber 12th.
1994. requiring counsel to engage in discovery
via depositiDns tD prDvide a record upon
response.
"We intend to aggressively More forward
in this case, despite your atteMpts at
prDcedural gridlock."
It.s signed "TheDdore A. Adler".
NDwhere in the letter, which we'll
attach as One Point Five Exhibit C. does Hr.
Adler state that he was nDt appearing for the
depositiDns or that he was objecting forMally
to the taking of the depositions in Scranton.
Pennsylvania.
He further did not advise that
Q
~
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which the Defendant's preliMinary objection
based Dn a MDt ion to diSMiss fDr lack Df venue
CDuld be deterMined.
Also scheduled for depositions today are
Hr. Kenneth Arnovitz Df One Point Five
Publishing and Hr. Lou Harcus Df One PDint Five
PUblishing for 11 and 1 p.M. respectively. We
will proceed with Hr. Arnovitz's deposition at
11 o'clock, and if Hr. Adler or his associate,
Hr. WilliaMs, dDes nDt appear, we will
iMMediately COMMence with Hr. Harcus'
depDsition upon his arrival tD these offices.
With that, the deposition of Hr.
Shughart will be adjourned and we will take
apprDpriate action tD obtain his depositiDn in
the near future.
(At this tiMe Exhibits No.
ONE POINT FIVE-A, ONE POINT FIVE-B
and ONE POINT FIVE-C were Marked for
identificatiDn.>
<At this point in the
prDceedings a brief recess
was taken.>
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1
KEN NET H
MAR C
A R N 0 V I T Z,
2 IS CALLED, AND HAVING BEEN DULY SWORN, WAS EXAMINED
~
>!t,.
3
AND TESTIFIED AS FOLLOWS:
4
5 DIRECT EXAMINATION BY HR. HICKEY:
6
o.
Hr. Arnovitz, can you state your naMe
7 for the recDrd, please?
8
A.
Kenneth Marc ArnDvitz.
9
o.
And YDur address?
10
A.
611 MonrDe Avenue, Scranton, Pa, 18510.
11
o.
We're here today to take YDur deposition
12 with regard tD a lawsuit cDMMenced by Fry
13 COMMunications, Inc., versus One PDint Five Publishing
Q
14
COMpany, Incorporated.
15 I'M going tD ask you to give verbal
16 responses to all the questiDns that I ask YDU SD that
17 the court repDrter can transcribe YDur testiMony.
18 If YDU don't understand the question
19 that I ask, I'M gDing to ask YDU tD ask Me to rephrase
20 it, and I'll be happy to do SD.
21 Before we get started, I'd like to get a
22 couple preliMinaries DUt Df the way.
23
Hr. ArnDvitz, was YDur depositiDn
24 scheduled by MY office?
\wi
25
A.
Yes, it was.
G ~ G REPORTING AGENCY, INC. - 717-457-8811
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1 Q. And you received a depositiDn notice
2 advising you to be here today at 11 o'clock for that
3
4
5
6
deposition?
A.
That's correct.
I'M going to show you what we're going
Q.
tD Mark as Arnovitz DepositiDn Exhibit A.
Can you
7 identify that for Me?
B
9
A.
It's a notificatiDn of depositiDn.
SCheduling your depDsition fDr today at
Q.
10 11 a.M. in MY office?
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A.
Yes.
HR. HICKEY:
Just so the record is
clear, this deposition notice was also
forwarded to AttDrney ThoMas O. WilliaMs,
counsel for the Plaintiff, Fry COMMunications,
Incorporated, Dn January 27th, 1995, which was
previously Marked as One Point Five Exhibit A
in the Gary Shughart deposition which was
scheduled to be taken at 10 a.M. tDday in which
Hr. Shughart and his counsel failed tD
appeared.
Hr. ArnDvitz's depositiDn was scheduled
for 11 a.M. this MDrning.
It is now 11:06, and
Attorney WilliaMs is not present nor is anYDne
froM his office present to be here tOday.
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12 CONTINUED DIRECT EXAMINATION BY MR. HICKEY:
I'd just like tD incorporate the
exhibits froM the Shughart depositiDn being the
Notice of Deposition, the letter of service to
Mr. WilliaMS dated January 27th, 1995, advising
hin that the depositions NDUld be taken today
as Nell as the letter dated January 30th, 1995,
froM Attorney Adler, a partner in Mr. WilliaMs
firM, who indicated that he did in fact receive
the Deposition Notices, but placed no objection
tD the depositions being taken.
Q
13
14
o.
Mr. Arnovitz, Nith those prelininary
things out of the Nay, can you tell Me Nhat your
15 relationship is with One Point Five Publishing?
16
17
A.
I'n the general Manager.
Exactly Nhat type of entity is One Point
o.
18 Five Publishing Conpany?
19
A.
One Point Five Publishing Conpany
20 prDduces a
21
o.
I'M sDrry, just so you understand, is
22 One Point Five Publishing COMpany a partnership, a
23 corporation?
~
24
25
A.
It's incorporated.
Is it a liMited partnership?
o.
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A.
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Yes.
And who is the general partner of One
Point Five Publishing Coftpany?
A.
Arnftar, Inc.
So Arnftar, Inc., is the general partner
of One Point Five Publishing.
I assufte there are
7 several liftited partners as well involved in the
8 entity.
9
10
A.
O.
Correct.
Now, are you a liftited partnership which
11 was organized under the laws of the CoftMonwealth of
12 Pennsylvania?
Q
13
14
o.
A.
I believe so.
And you're authorized to do business
15 within the State of Pennsylvania?
16
17
A.
O.
That's correct.
Can YDU tell Me where YDur principal
18 place of business is located?
19
20
A.
O.
At 611 Monroe Avenue in Scranton.
Do you have any other offices in the
21 State of Pennsylvania?
22
23
A.
O.
No, we do nDt.
Can you just briefly explain what type
\J
24 of business One Point Five Publishing COMpany engages
25
in?
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11
One Point Five engages in the
(:)
2 publication Df a Monthly Magazine fDr Insalaco's
SuperMarket and endeavors to find other Magazine
3
4
production.
It's a fairly new cDMpany.
It's only a
5 year and a half DId.
6 O. So the cOMpany is Drganized to basically
7 do the publishing of the Insalaco's Magazine?
8
9
A.
O.
CDrrect.
And you've been doing that for
10 approxiMately a year and a half?
Q
11
12
13
14
A.
O.
A.
O.
CDrrect.
Now, do you print your own Magazines?
We subcontract that.
And would it be a fair stateMent tD say
15 that Fry COMMunications was the entity which
16 originally had contacted you tD dD the printing of the
17 Insalaco's Magazine?
18
19
A.
O.
That's correct.
I'd like tD get intD a little bit Df
20 your discussions with Fry CDMMunications concerning
21 the publication and printing of the Insalaco's
22 Magazine.
23 Can you tell Me, hDW did YDU go about
24 either contacting or being cDntacted by or fDr Fry
~
25
COMl'lunications?
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A. We had Made it known in the print
Marketplace that this publication was going to COMe on
line, and we had secured bids froM several different
sources. One of the -- I believe that one of the
5 printers that we referred this to, we had told theM,
6 had said they weren't capable Df doing it, but asked
7 if it was okay if they referred it to other printers
8 that they had relationships with, and we said fine.
9
We didn't care, you know.
We would take in as Many
10 bids as, you knDw, peDple were interested in dDing the
11 wDrk.
12 We had -- subsequent tD that we had
13 received a phone call froM Bill Lowe aSking if we are
Q
14
the ones that were doing this Magazine and could he
15 bid on it.
Q.
A.
Q.
A.
Q.
A.
Q.
Can you identify who Hr. Lowe is?
Bill Lowe told us he was the sales rep
18 for Fry COMMunications.
And where was Hr. Lowe's Dffice located?
Dallas, Pennsylvania.
SD Hr. Lowe was a local sales
22 representative fDr Fry COMMunications?
Correct.
NDW, did YDU have discussions with Hr.
~
25 Lowe concerning exactly what YDU needed in order to
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1 get the "agazine to print?
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2
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A.
Yes.
We Made hiM aware of the specs,
specificatiDns, and what we anticipated we needed;
4 and, as in every bid, we told the bidders to Make
5 their suggestions of what they thought was the Most
6 econoMical way or best way to produce the Magazine on
7 an ongoing basis.
8
o.
How, Hr. Lowe, did he Make the initial
9 contact tD you?
10
A.
I believe it was to Lou Harcus.
I
11 believe he Made the initial cDntact tD our office.
12
o.
Hr. Harcus is eMployed by One Point Five
13 Publishing COMpany?
Q
14
15
A.
Right.
After the initial contact was Made by
o.
16 Hr. Lowe to solicit your business, did there CDMe a
17 tiMe when you Met with Hr. LDwe to discuss the
18 prDpDsal?
19
A.
There were "any Meetings over the
20 telephone and fax back and forth between our office
21 and his Dffice in Dallas.
22
o.
This is priDr to the executiDn Df the
23 contract?
v
24
25
A.
Well, yeah.
This would all be
considered preliMinary wDrk.
FrOM his perspective, he
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was trying to Make the sale, and froM our perspective,
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We were -- as a Matter Df fact, we were
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Ne Nere trying to Make a decision.
.
4
Nell dONn the road with another cOMpany Nhen he caMe
j'
5
in.
We really didn't expect tD be using Fry, 50 it
6
was a last-second thing.
SD he was Norking quite
7
diligently to get the sale and he
SD Ne had faxed a
8 IDt of inforMation back and forth tD save tiMe, and
9 subsequent to that he Met first Nith Lou and then with
10 Lou and Myself Dn a cDuple of occasions.
11
o.
How, YDur phone cDnversations, was he
12 contacting you in ScrantDn at 611 HDnrDe Avenue?
13
A.
CDrrect.
Q
14
o.
And would YDU contact hiM in at his
15 Dffice in Dallas?
16
A.
That's CDrrect.
17
o.
YDU had indicated there were several
18
faxes Nhich took place during that tiMe period.
Would
19 the faxes be between Dallas and ScrantDn?
20
A.
That's CDrrect.
21
Q.
Prior to October 18th, 1993, did YDU
22 ever have any Meetings or conversations with Hr. Lowe
23 in Hechanicsburg, Pennsylvania?
24
A.
Ho.
"
25
Q.
Would it be fair to state that all of
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1 your discussions ~ith Hr. Lowe took place either over
2 the phDne at your office in Scranton Dr at YDur office
~
3
in Scranton Dr various establishMents within
4 Lackawanna County, Pennsylvania?
5
Lackawanna or Luzerne CDunty.
A.
6
Okay.
What place in Luzerne CDunty?
o.
7
I have a vague recollectiDn Df pDssibly
A.
8 gDing DUt tD eat in Luzerne CDunty one tiMe.
9 O. At which tiMe you discussed
10 A. At which tiMe we would have been
11 discussing, YDU knDw, the reaSDns why he thought that
12 Fry wDuld be the place that we ShDUld print the
13 Magazine at, the advantages that Fry Dffered us Dver
Q
14
the Dne Dr tWD Dthers we were considering.
15
O.
HDW, did there CDMe a tiMe when Hr. Gary
16 Shughart becaMe involved in YDur cDnversations and
17 negDtiations with Fry CDMMunications?
18
A.
Yes.
I believe that after we had agreed
19 on the specificatiDns and the pricing, that Gary
20 Shughart Made a request of LDU tD send dDwn all Df the
21 credit applicatiDn infDrMatiDn.
22
O.
DD YDU know where Hr. Shughart was
23 IDcated?
24
A.
He was IDcated in Hechanicsburg, at Fry.
~
25
O.
Did Hr. Shughart ever fDrward a prDposal
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1 to either you or Hr. Harcus concerning Fry
2 CO"Munications' endeavor to dD business Nith you?
o
3
A.
He just co""unicated to us tha~ he was
4 happy that Ne were going tD be working with Fry, and
5 he had sent us the spec sheet of the propDsal tha~ Ne
6 worked out wi~h Bill Lowe.
7
o.
So whatever infDrMation Hr. Fry or, I'"
9 sorry, Hr. Shughart had Nas a result Df your
9 discussions with Hr. Lowe?
10
11
12
A.
o.
A.
Correct.
In Scranton?
CDrrect.
I~ was MY understanding ~ha~
Q
13 Bill Lowe worked directly under Gary Shughar~.
14
15
o.
I'" going show you what we'll Mark as
ArnDvitz Exhibi~ B.
16 fDr PIe?
17
18
19
20
21
A.
O.
A.
o.
A.
Can YDU identify tha~ docuPlen~
This is a Single-page proposal.
On whDse letterhead is it?
On Fry letterhead, dated 8/16/93.
Who is the propDsal addressed to?
Proposal is addressed to Lou Harcus &
22 AssDciates to the attention of Lou Harcus.
23 It May help to clarify that LDU Marcus &
24 AssDciates was the entity that LDU Marcus wDrked fDr,
~
25
worked under prior to the forMatiDn of One Point Five
G ~ G REPORTING AGENCY, INC.
717 457-8811
9 Five Publishing CDMpany?
12 Hr. Lowe and receipt of the prDposal froM Fry
~
I..
10
11
2
17
1 Publishing.
Q.
How, where was that proposal sent to?
3
A.
Sent tD the saMe address, 611 Honroe
4 Avenue.
5
Q.
Is that the address that Lou Harcus &
6 Associates was at?
7
Correct.
A.
8
Q.
PriDr to the organization of One Point
A.
That's correct.
Q.
As a result Df your negDtiations with
Q
13 COMMunications in Scranton, did there COMe a tiMe when
15 cDntract fDr the printing service?
18 we'll Mark as Arnovitz Exhibit C.
20 that probably was the back page Df the prDposal.
23 and we signed and accepted this on OctDber 18, '93,
14
16
17
19
21
22
One Point Five Publishing COMpany was forwarded a
A.
Yes.
Q.
I'M going to ask you tD identify what
A.
Yes, this is the terMS and conditions
Q.
Okay.
How did YDU Dbtain that docuMent?
A.
This was sent by fax to us Dn 11/17/93,
~
24 and faxed back a CDPY.
25
Q.
Let's backtrack a little.
G & G REPORTING AGENCY, INC. - 717-457-8811
18
1 You received these terMs and conditions
~
2 alDng Nith the proposal frOM Fry CDMMunications to
3
revieN?
4
A.
5
o.
Correct.
And subsequent tD your revieN, did there
6 COMe a tiMe when you accepted the proposal and the
7 terMs and cDnditions?
8
A.
9
o.
Yes.
NDW, the proposal and the terMs and
10 cDnditions which Made part of the cDntract between One
11 Point Five Publishing and Fry COMMunications, who
12 drafted that agreeMent?
13
A.
Q
14
o.
Fry.
Now, when you say agreeMent, was this
15 initially forwarded tD you as a proposal?
16
A.
17
o.
Yes
Did there CDMe a tiMe when you or Mr.
18 Marcus accepted that proposal Dn behalf Df One Point
19 Five Publishing COMpany?
20
A.
21
o.
Yeah, on OctDber 18th, '93.
Okay.
Where did you accept the terMs
22 and cDnditions Df the prDpDsal as forwarded to you by
23 Fry COMMunications?
24
A.
~
25
o.
In Scranton, at the office.
Now, after accepting the proposal Dn
G ~ G REPORTING AGENCY, INC. - 717-457-8811
1 October 18th, what did you do?
~
2
3
4
A.
Fry.
Q.
We faxed this back to Gary Shughart at
And at that tiMe or subsequent thereto
5 did they return an executed CDPy Df the agree~ent tD
6 One Point Five Publishing COMpany?
7
8 it.
9
10
11
12
A.
O.
A.
tiMe.
I believe they Mailed us a hard copy of
Was that sOMetiMe in NoveMber of 1993?
If not sooner, but certainly in that
Certainly in the two-week tiMe fraMe.
o.
Well, just so we can pinpoint, I'M gDing
Q
13 to ShDW you what was Marked as Arnovitz DepositiDn
14
15
Exhibit D.
A.
Can you identify that dOcuMent?
Yes, this is a letter that we had
16 received froM Gary Shughart which reads __
17
18
19
20
o.
A.
O.
A.
Can YDU tell Me what the date on it is?
Dated NoveMber 16th, 1993.
And what does the letter state?
It states that, "Enclosed please find a
21 CDPy of YDur fully executed contract for your records.
22 We enjoyed working with you on this project and
23
sincerely appreciate your confidence.
If you have any
~
24 questions, please fell free to call." Signed by Gary
25
Shughart.
G ~ G REPORTING AGENCY, INC.
717 457-8811
19
1
D.
2
A.
Q
3
D.
4
A.
5
D.
6 Shughart?
7
A.
9
D.
9
A.
10
D.
11 letter?
12
A.
13
D.
Q.
14
delivered tD?
15
A.
16
D.
17
A.
19
D.
20
The date of the letter is Hove"ber 16th?
CDrrect.
What's the date on the contract?
October 18th.
What's the date executed by Hr.
October 17th.
The contract is dated after the letter?
I'" sorry, it's Hove"ber 17th.
Right. SD it's Dne day later than the
Correct.
Where was the letter and the contract
To Scranton.
611 Honroe Avenue?
CDrrect.
How, Hr. Arnovitz, can you tell Me, did
19 you have any negotiations with regard to the proposal
20 frDM Fry in Hechanicsburg, Pennsylvania?
21 A. HD.
22 D. Did YDU have any negotiatiDns in any
23 part Df CUMberland County with regard to the proposal
24 frDM Fry?
v
25
A.
Previous to signing the cDntract?
G & G REPORTING AGENCY, IHC. - 717 457-9911
i'
....1'".::
21
Q
1
2
3
Q.
A.
Q.
Correct.
Ho.
Just so the record is clear. can you
4 tell us exactly where the agreeMent was accepted and
5 executed by One PDint Five Publishing COMpany?
6
7
A.
Q.
It was in Scranton.
Mr. ArnDvitz. that's all I have at this
8 tiMe.
~
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
MR. HICKEY:
Just so the record is
Q
clear, the deposition is being cDncluded at
11:24. Attorney WilliaMs nor Attorney Adler
has appeared as of this tiMe, and I'd like tD
Make the following stateMent on the record.
The deposition Df Lou Marcus was
scheduled for 1 p.M. in our office tDday.
Hr.
ArnDvitz is currently under Medical treatMent
and was atteMpting tD get back here for 1 p.M.
today for his deposition frDM Philadelphia,
Pennsylvania.
Since neither AttDrney Adler nor
Attorney WilliaMS have appeared for either Hr.
Shughart's depositiDn or Hr. ArnDvitz's
depDsition, we are gDing to cancel the
deposition of Lou Marcus at this tiMe. due to
his Medical difficulties, and have hiM prepare
G ~ G REPORTING AGENCY, INC. - 717 457-8811
22
1
2
0 3
4
5
6
7
8
9
10
11
12
13
Q 14
15
16
17
18
19
20
21
22
23
24
0
25
an affidavit with regard to his testiMony
cDncerning venue in this case.
In addition, the deposition of Hr.
Arnovitz is being liMited to the venue issue
only, and accordingly we have reserved any and
all right to recall Hr. Arnovitz and Hr. Harcus
for further discovery in this Matter.
With that, we'll conclude the
.1
I
depositiDn.
and ARNOVITZ-D were Marked for
(At this tiMe Exhibits ND.
ARNOVITZ-A, ARNOVITZ-B, ARNOVITZ-C
identification.)
(At this tiMe the deposition in
the above-captioned case was
concluded. )
(
G & G REPORTING AGENCY, INC.
717-457-8811
l:;\~1e.2-;-~'
~>-i~'f''-_-,"'
';'~'h"'~
.
C E R T I F I CAT E
Q
I do hereby certify that before the
taking of his/her depositiDn the said witness was
by "e first duly sworn to testify to the truth,
the whole truth and nothing bu the truth, and that
the abDve depDsition was recorded in stenotype by
Me and reduced to typewriting under MY
supervisiDn.
I further certify that the said
deposition was taken before Me on the date
specified and at the place so specified.
I further certify that I aM not a
relative Dr eMployee or attorney or counsel of any
Df the parties, Dr a relative or eMployee Df such
attDrney or counselor financially interested
directly or indirectly in .t. his action. JI
\J .-J .
L.~4~.!ij~____--
G & G REPORTING AGENCY, INC.
POST OFFICE BOX 208
OLD FORGE, PA 18518
~
.
~.
~
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-,@
/PROPOSAl
FRY
PulUCAnoN, CATALOG AHO
BoolC P~INT1Na SrEOAUSTS
Page I
Number: 12585
PrNJv,i ~
~
)1~/4 LLl-
Requested by: Gary Shughan @ ext. 219
Lou Marcus & Associates
Altn: Lou Marcus
611 Monroe Avenue
Scranton, PA 18510
Phone:
(717) 346-0603 Fax: (717) 346-8090
Date: 08/16/93
Title:
SMM
Pages:
Quant it}':
32 Pages; Selfcover
150,000
2%
8 3/8 * 10 7/8
Variance:
Size:
Material:
,
Strip one negative per color per page from supplied RRED composite pa'ge
negatives. Make one set of blueline proofs, Show additional cost to output film
from supplied disk.
Heatset Web Offset - 4 Color Process throughout.
Press: '
Pa per:
Binding:
Packing &
Distribution:
40# Ctd No,S Carolina Bs.2S*38
Saddle Stitch
@ 39.S0/CWT
Bulk pack in convenient cartons, no specified count per carton. Show estimated
freight to Scranton, PA.
Additional
Specifications:
Schedule:
To be agreed upon - prints e\'ery 3 weeks,
To be determined upon completion of credit check.
Terms:
fRY COMMUNICATIONS, INC.
(717) 766'()211 1 Fa~: (717) 691 -0341
Out of Slate: (800) 334.14291 In State: (800) 524,3232
800 West Church Road, Mechanicsburg, PA 1705S
k
r:"''''~':'''.
.,
FRY COMMUNICATIONS, INC.,
Plaintiff
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
CIVIL ACTION-LAW
VS.
ONE POINT FIVE PUBLISHING
COMPANY, INC.,
Defendant NO. 94-CIVIL-1773
********************************************************~********
NOTICE OF DEPOSITION
TO: GARY L. SHUGHART
VICE PRESIDENT, SALES
FRY COMMUNICATIONS, INC.
C/O THOMAS O. WILLIAMS, ESQ.
REAGER & ADLER, P.C.
2331 MARKET ST.
CAMP HILL, PA 17011-4642
PLEASE TAKE NOTICE that the deposition of Gary L. Shughart,
Vice President, Sales, Fry Communications, Inc., will be taken
pursuant to the Pennsyl~'ania Rules of civil Procedure before a
person authorized by law to administer the oath at the law
offices of Schneider, Gelb, Goffer & Hickey, P.C., 500 Mellon
Bank Building, 400 Spruce foL., Scranton, Pennsylvania 18503, by
the Defendant, One Point Five Publishing Co. Inc., on Thursday,
February 2,1995, commencing at. 10:00 A.M., and at any and all
adjournments thereof.
r::."?-""'~',:"
f'.____
,
-
-
The scope and purpose of these depositions are to inquire
into all the facts and circumstances surrounding the subject
matter of this lawsuit of which the Deponent has knowledge.
SCHNEIDER, GELB, GOFFER
& HICKEY, P.C.
!
BY:
g
J/
EU F. HI KEY II
Attorney for Defenda ,
One Point Five Publishing
Co., Inc.
Mellon Bank Uldg., suite 500
400 Spruce Street
Scranton, PA 18503
Phone: (717) 341-3150
FAX: (717) 341-3155
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HNEJDER
ELB &
OFFER
JCKEY, P.c.
lAWM"CU
OI'Ji:" PJ.IrV1 fi,t
15
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TELEPHONE: (117)341..1150
FACSIMII,E: (717)341..1155
400 S1'RUCE STREIl1: MELLON BANK BUILDING SUIT!! 500, SCRANTON, PENNSYLVANIA Ill503
January 27, 1995
VIA FAX and u.s. MAIL
Thomas o. Williams, Esq.
neager & Adler, P.C.
2331 Market Street
Camp Hill, PA 17011-4642
nE: FRY COMMUNICATIONS, INC.
VS: ONE POINT FIVE PUBLISHING CO., INC.
OUR FILE NO. 479-922
Dear Mr. Williams:
Although I requested a continuance with regard to the
depositions you unilaterally scheduled for January 25, 1995, you
advised on January 24. 1995 that you were not agreeable to the
same. Accordingly, enc:losed please find Notices of Deposition
which schedules the deposition of Gary L. Shughart, Vice President,
Sales, Fry Communications, Inc., to be taken on February 2, 1995 at
10:00 A.M., Ken Arnovitz at 11:00 A.M. and Lew Marcus at 1:00 P.M.,
in my offices in Scranton, Penna.
Al though I had hoped to resolve the scheduling conflicts
amicabl y, your actions 0 f Janua ry 24, 1995 have left me with no
other alternative. Accordingl}', I will not agree to any t'equest
for continuance of the February 2, 1995 deposition date.
With best regards, I am
Very truly yours,
EFI/:mm
Ene I osu t'e
SCHNEIDEn, GELB, GOFFEn
So HICKEY, P.C.
/.: ~ -'~, .~ / 1L
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EUGENE F. IIICfa,;\, IT (
CC: I.Pow Ma I'CIlS
Ken l\ I.tto,," i. t~:
.'
"
TO:
SCHNEIDER., GELD.,
GOFFER & HICKEY., P.C.
Mellon Bank Building, Suite 500
400 Spruce Street, Scranton, P A 18503
Telephone: (717) 341-3150j FAX: (717) 341-3155
ll. rYI I Es lJO-7'}' ,
&
JJ
RESPONSE NEEDED BY:
mo...,,\~
OPERA10R
The Infonnation contained in this facsimile message is attorney privileged and coolidentlal
Infonoation intended only for the use of the individual or entity oamed above.
If the reader of this message is not the intended recipient, you are hereby notified thAt aay
dlsscmluation, dlstn'butlon or copy of thls communication is strictly proht'blted. If you have received thls
communication In error, please immediately notify us by telephone, 'Thank YOtL
It'"
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.
'01/iT/U5 13:31
e7173413155
SGG&II
1ilI00l
...........................
... ACTIVITY RBPORT ...
...........................
TRANSIIISSION OK
TX/RX NO, 3302
CONNBCTION TEL U7307300
CONNBCTION ID
START TillE 01/27 13:25
USAGB TillE 00'30
PAGBS 11
RESULT OK
'I7P-9l-2
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Zlll MARKET STRE[T
CAMP HILI. PENNSYLVANIA 1701104641
717.76],1l8]
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out!. p,,~ FJt.\{
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REAGER & ADLER, PC
ATTORNEYS AND COUNSELORS AT LAW
..
THEODORE A. ADLER'+
OAVID w, REACER
JOHN J, McNALLY, III
DEBRA A. DENISON
THOMAS 0, WILLIAMS
SUSAN H, CON FAIR
January 30, 1995
REPLY TO:
P,O, BOX 797
HARRISBURc;, PA
1710B.o797
MONICA 0, lERCHER
Legal As,lstanl
''''so admitted 10 D,C. Ba,
"",
Eugene F. Hickey, II, Esquire
schneider, Gelb, Goffer & HiCkey, P.C.
400 Spruce street
Mellon Bank Building
suite 500
Scranton, PA 18503
ReI Fry communioations, Ino. v.
One Point Five Publishing co., Ino.
Dear Mr. Hickey:
We are in receipt of your letter and notices of depositions in
this case. Twice we have noticed you for depositions. One was
rescheduled at your request; and you failed to attend the other.
Your present action is nothing but an attempt to further delay this
case from proceeding to trial. Moreover, the scheduling of the
deposition in Scranton concerning litigation in Cumberland county
violates the Rules of Civil Procedure and Cumberland County case
law.
-
You have also failed to respond to Fry I s discovery, in
violation of the applicable Rules of civil Procedure. You were
served with requests for documents in June, 1994, and, despite
repeated requests, have refused to respond.
We intend to aggressively more forward in this case, despite
your attempts at procedural gridlock.
;r;;;s,
T eodore A. Adler
TAA/kde
pc: Robert A. Swift, Esquire
+ Certified as a Civil Trial Specialist by the National Board of Trial Advocacy, A Pennsylvania Supreme Court Accredited Agency
, '
. .,
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dlo/~l- L(C-
FRY COMMUNICATIONS, INC.,
IN THE COURT OF COMMON PLEAS
OF CUMBERLAND COUNTY
Plaintiff
CIVIL ACTION-LAW
VS.
ONE POINT FIVE PUBLISHING
COMPANY, INC.,
Defendant NO. 94-CIVIL-1773
**************.*.*.*..********************************.**********
NOTICE OF DEPOSITION
TO: KEN ARNOVITZ
611 MONROE AVE
SCRANTON, PA 18510
PLEASE TAKE NOTICE that the deposition of Ken Arnovitz will
be taken pursuant to the Pennsylvania Rules of civil Procedure
before a person authorized by law to administer the oath at the
law offices of Schneider, Gelb, Gaffer & Hickey, P.C., 500 Mellon
Bank Building, 400 Spruce St., Scranton, Pennsylvania 18503, by
the Defendant, One Point Five Publishing Co. Inc., on Thursday,
February 2, 1995, commencing at 11:00 A.M., and at any and all
adjournments thereof.
"-
The scope and purpose of these depositions are to inquire
into all the facts and circumstances surrounding the subject
matter of this lawsuit of which the Deponent has knowledge.
SCHNEIDER, GELB, GOFFER
& HICKEY, P.C.
BY:
./
,
EUGsNE
Atto~hey for Defend
One Point
Co., Inc.
~
Mellon Bank Bldg., Suite 500
400 Spruce Street
Scranton, PA 18503
Phone: (717) 341-3150
FAX: (717) 341-3155
r
CERTIFICATE OF SERVICE
I, EUGENE F. HICKEY, II, Esquire, hereby certify that I
forwarded the foregoing Notice of Deposition this 27th day Df
January, 1995, by depositing same in the U.S. Mail, postage
prepaid, addressed to Ken Arnovitz, 611 Monroe Avenue, ScrantDn,
PA 18510.
BY:
SCHNEIDER, GELB, GOFFER
[> & HICKEY, P'l'.
~~ ~' ~//4.$
EUGE E F. H CKE II '
Attorney for Defendant~
One Point Five Publish1ng
Co., Inc.
Mellon Bank Bldg., suite 500
400 Spruce Street
Scranton, PA 18503
Phone: (717) 341-3150
FAX: (717) 341-3155
~
FRY
PrY{l//n
~I,}lc, 1- t.LL
PUBUCATlON, CATALOG ANO
BOOK PRINTING SPECIAUSTS
November 16, 1993
Mr. Lou Marcus
Lou Marcus and Associates
611 Monroe Street
SCranton,P~.18510
Dear Mr, Marcus,
Enclosed please find a copy of your fully executed 'contract for your
records. '
We enjoyed working with you on this project and sincerely appreciate
your confidence. .
If you have any questions, please feel free to call.
Sincerely,
/~~ ;;( u'~
Gary L, Shughart
VP/Sales
GLS:evs
enclosure
FRY COMMUNICATIONS, INC.
800 West Church Road, Mechanicsburg, PA 170SS
T....I,.~~._.., ,-"." -'r.r. "'1' T....II r......... lon(\\ '}'),. '''''0 r^v I"'~-'\ t:n, "".1'
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-
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J'RY COKMUHlCATIONS, INC.,
Plaintiff
)
) IN 'l'JIB COURT OJ' COHKON PLBAS
) CUMBIRLAHD COUNTY, PIHHSYLVAHIA
)
)
) NO. g4-CIV-1773
)
)
) CIVIL ACTION
)
)
)
v.
ON! POINT J'IV! PUBLISHING
CO., INC.,
DefendllDt
PRABCIPI
TO 'l'JIB PROTHONOTARY I
On April 25, 1995, this Court dismissed Defendant's
preliminary objections. Defendant has failed to file an answer to
the Complaint pursuant to Pa. R.C.P. 1028(d).
Please enter
judgment by default in the amount of $6,042.04, plus interest from
January 25, 1994, and court costs.
RESPECTFULLY SUBMITTED,
By:
THEODORE A. ADLER, ESQUIRE
Identification No. 16267
2331 Market Street
Camp Hill, PA 17011-4642
(717) 763-1383
Attorneys for Plaintiff
Date: May 25, 1995
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CBRTI~ICATB O~ SBRVICB
AND NOW, this 25th day of May, 1995, I hereby verify that I
have caused a t~e and correct copy of the foregoing document to be
placed in the U.S. mail, first class, postage prepaid and addressed
as follows:
Eugene F. Hickey, II, Esquire
400 Spruce Street, suite 500
Scranton, PA 18503
ADLER
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