MOTION FOR ORDER OF CONFESSION OF JUDGMENT

MANISH S. SHAH, District Judge.

NOW COMES the Defendant, PELLEGRINI PLUMBING, LLC, (hereinafter "PELLEGRINI"), by and through its attorneys, Chitkowski Law Offices, and for its Motion for Order of Confession of Judgment on Count I of PLUMBERS' PENSION FUND, LOCAL 130, U.A., et al. (collectively referred to as the "Local 130 Trust Funds") Complaint against the Defendant, states as follows:

1. On December 11, 2014, PLUMBERS' PENSION FUND, LOCAL 130, U.A, et. al. (collectively referred to as the "Local 130 Trust Funds") filed its Complaint (hereinafter referred to as the "Complaint") under case number 1:14 CV 09933. See Complaint, marked as Exhibit A., attached hereto and made a part hereof.

2. The Local 130 Trust Funds receives contributions from numerous employers pursuant to Collective Bargaining Agreements between the employers and the CHICAGO JOURNEYMEN PLUMBERS' LOCAL UNION 130, U.A., ("Local Union 130").

2. On October 8, 2009, Plaintiffs allege that the Defendant, Pellegrini Plumbing, LLC entered into a Collective Bargaining Agreement whose terms required the Defendant to pay fringe benefits to the Local 130 Trust Funds. See Complaint, Ex. A.

3. Based upon the audit conducted pursuant to the Collective Bargaining Agreement, Pellegrini would confess judgment in the principal amount of Six Hundred One Thousand, Nine Hundred Sixty and 54/100 Dollars ($601,960.54). As of the date of filing, based on the 8% liquidated damages provision, and interest rate, Pellegrini would confess to judgment to Forty-Eight Thousand One Hundred Fifty-Six and 84/100 Dollars ($48,156.84) in liquidated damages, and Sixty-Seven Thousand, Eight Hundred Fifty and 00/100 Dollars ($67,850.00) in interest. Pellegrini would also confess judgment to reasonable attorney fees.

4. As set forth above, Pellegrini agrees to a confession of judgment being entered against it, for all outstanding debts owed to Local 130 Trust Funds, including all accrued interest, court costs and reasonable attorneys' fees.

5. An Order of Confession of Judgment against Pellegrini on Count I of the Complaint is proper. See Proposed Judgment Order, marked as Exhibit B, attached hereto and made a part hereof.

WHEREFORE, the Defendant, PELLEGRINI PLUMBING, LLC, respectfully prays that this Honorable Court enter an Order of Judgment on Count I of the Complaint, in the principal amount of Six Hundred One Thousand, Nine Hundred Sixty and 54/100 Dollars ($601,960.54), liquidated damages in the amount of Forty-Eight Thousand One Hundred Fifty-Six and 84/100 Dollars ($48,156.84), interest in the amount of Sixty-Seven Thousand, Eight Hundred Fifty and 00/100 Dollars ($67,850.00), and reasonable attorney fees, along with any further relief this Court deems just and equitable.

EXHIBIT A

IN THE UNITED STATES DISTRICT COURT FOR THE NORTHERN DISTRICT OF ILLINOIS EASTERN DIVISION

COMPLAINT

Plaintiffs, the PLUMBERS' PENSION FUND, LOCAL 130, U.A., et al., by its attorney, Michael J. McGuire and the law firm of Gregorio & Associates, complain of the Defendants, PELLEGRINI PLUMBING, LLC. and DANIEL PELLEGRINI, individually, and allege as follows:

COUNT I — Pellegrini Plumbing, LLC. — ERISA

1. This action arises under Section 502 of the Employee Retirement Income Security Act and Section 301 of the Taft-Hartley Act. (29 U.S.C. §§ 1132 and 185). Jurisdiction is founded on the existence of questions arising thereunder.

2. The PLUMBERS' PENSION FUND, LOCAL 130, U.A, et. al. (collectively referred to as the "Local 130 Trust Funds") receive contributions from numerous employers pursuant to Collective Bargaining Agreements between the employers and the CHICAGO JOURNEYMEN PLUMBERS' LOCAL UNION 130, U.A., ("Local Union 130").

3. The Local 130 Trust Funds are multi-employer plans as defined under 29 U.S.C. § 1002.

4. The Trust Funds are administered in Chicago, Illinois and venue is proper in the Northern District of Illinois.

5. The Defendant, Pellegrini Plumbing, LLC., is an employer engaged in an industry affecting commerce, which entered into a Collective Bargaining Agreement whose terms require Defendants to pay fringe benefits to the Trust Funds. Attached as Exhibit A, is a copy of the Memorandum of Agreement between the Defendant and Union which binds the Defendant to the CBA and Trust Agreements.

6. The Agreement and the Collective Bargaining Agreements also bind the Defendant to the provisions of the Agreement and Declarations of Trust which created the Plumbers' Local 130, U.A. Trust Funds ("Trust Agreements").

7. The Defendant is required to make contributions to the Local 130 Trust Funds for each hour worked by its Plumber employees at the rate and in the manner specified in the Collective Bargaining Agreement and Trust Agreement. In addition, the Defendant is required to make contributions to the Local 130 Union measured by the hours worked by Plumber employees and/or Local 130 members at the rate and in the manner specified in the Collective Bargaining Agreement and Trust Agreement for the Local 130 Trust Funds. The Defendant is also liable for subcontracting plumbing to a company, which does not pay the contributions.

8. The CBA and Trust Agreements provide that employers who do not timely pay all contributions are also liable for liquidated damages, interest, audit fees and attorney fees.

9. The Defendant, Pellegrini Plumbing, LLC, breached the provisions of the Collective Bargaining Agreement and Trust Agreement by failing to submit fringe benefit reports and contributions for the months of December 2013 through the November 2014.

10. As a result of said breaches, the Defendant is also liable to the plaintiffs for the following ancillary damages on top of the fringe benefit contributions:

WHEREFORE, Plaintiffs pray:

COUNT II — Daniel Pellegrini — Breach of Contract

11. The Plaintiffs re-allege its' allegations in paragraphs 1-10 of Count I of the complaint.

12. This action arises under the Court's Supplemental Jurisdiction, pursuant to 28 U.S. Code § 1367(a) as the Court has original jurisdiction of Count I and the claims in Count II are so related to the Claims in Count I that they form part of the same case and controversy.

13. The Defendant, Daniel Pellegrini, is an individual residing in the County of Will, Illinois, who entered into a Settlement Agreement & Payment Plan, hereafter ("Agreement"), with the Plaintiffs. A true and correct copy of the Agreement is attached as Exhibit B.

14. Pursuant to the terms of the Agreement, defendant Pellegrini Plumbing, LLC. was required to remit certain fringe benefit contributions, interest, liquidated damages, and fees to the Plaintiffs pursuant to a payment schedule.

15. Pursuant to the Agreement at Paragraph 8, the defendant Daniel Pellegrini agreed to be personally liable, individually and/or jointly liable for all amounts owed under the Agreement should Pellegrini Plumbing, LLC. default on the Agreement.

16. The defendant, Pellegrini Plumbing, LLC. breached the provisions of the Agreement by failing to pay amounts due under the Agreement. Pellegrini Plumbing, LLC. was given notice of the default and failed to cure the default within the timeframe required.

17. As a result of the default, the Defendant, Daniel Pellegrini, is personally liable to the Plaintiffs for $238,916.38 the balance of the amount owed under the Agreement, plus interest, attorney's fees and costs.

WHEREFORE, Plaintiffs pray:

This Agreement is made and entered into by and between the undersigned sole proprictorship, partnership or corporation who is duly authorized by law and bonded to engage in the plumbing business and its established therein and who regularly employs not less than two (2) Journeymen Plumbers (hereinafter referred to as the "Employer"), and Chicago Journeymen Plumbers' Local Union 130, U.A., which is composed of competent mechanics, who are duly authorized by law to install and inspect all plumbing work (hereinafter referred to as the "Union").

1. The Employer recognizes the Union as the exclusive collective bargaining agent for all of its employees who perform any of the work within the trade and territorial jurisdiction of the Union as set forth in the agreement and agreements referred to in paragraph 2, below.

2. The Employer and Union specifically adopt and agree to abide by and be bound by all clauses, terms and provisions of the collective bargaining agreement between the Union and the Plumbing Contractors Association of Chicago and Cook County (hereinafter referred to as the "Contractors Association") dated June 1, 1992 with the same force and effect as though said collective bargaining agreement were set forth in full herein, and any amendments, modifications, supplements, extensions or renewals thereof, and any subsequent collective bargaining agreements as will be negotiated from time to time in the future by the Union and Contractors Association, unless notice to terminate this memorandum Agreement is given by the Union or Employer in the manner provided in paragraph 4, below.

3. The Employer further specifically adopts and agrees to abide by and be bound by all the clauses, terms and provisions of the Trust Agreements establishing and governing:

and any amendments previously made thereto with the same force and effect as though said Trust Agreements were set forth in full herein. The employer ratifies, accepts and irrevocably designated as its representatives the Employer Trustees of each of said Funds who from time to time shall be appointed as such in accordance with the terms of the Trust Agreements. The Employer agrees to make the contributions required by the Association Agreements referred to in paragraph 2, above, into the Funds established and governed by said Trust Agreements and to be bound by all amendments thereto hereafter made as if the Employer had signed the original of said Trust Agreements and any amendments from time to time made or to be made.

4. This Memorandum Agreement is effective as of June 1, 1992 if the Employer was a party to or was legally bound by the Union's Agreement with the Contractors Association which expired on May 31, 1992. Otherwise, it shall be effective as of the date it is executed by the parties hereto. This memorandum Agreement may be terminated by the Union or the Employer on the same date as the expiration date of any then current collective bargaining agreement between the Union and the Contractors Association referred to in paragraph 2, above, by the party hereto so wishing to terminate this Memorandum Agreement giving the other no more than ninety (90) days but no less than sixty (60) days written notice of termination by certified mail-return receipt requested prior to the expiration date of any such then current collective bargaining agreement.

5. The Employer agrees to notify the Union in writing of any changes in the information filed in by the employer below on this Memorandum Agreement.

EXHIBIT B

SETTLEMENT AGREEMENT & PAYMENT PLAN

THIS SETTLEMENT AGREEMENT & RELEASE ("Agreement") is made and entered into this ____ day of February, 2014, between the Plumbers' Pension Fund, Local 130, U.A., Plumbers' Welfare Fund, Local 130, U.A., the Trust Fund for Apprentice and Journeyman Education and Training, Local 130, U.A., Plumbers' Retirement Savings Fund, Local 130 U.A., and Chicago Journeymen Plumbers' Local Union 130, U.A., Group Legal Services Plan Fund, (collectively "Trust Funds"), Pellegrini Plumbing, LLC. ("Pellegrini") and Dan Pellegrini;

RECITALS

WHEREAS, Pellegrini has been signatory to, and bound by, a Collective Bargaining Agreement ("CBA") with the Chicago Journeymen Plumbers' Local Union 130, U.A. ("Union");

WHEREAS, a dispute arose between the Trust Funds and Pellegrini regarding the non-payment of fringe benefit contributions and liquidated damages;

WHEREAS, the Trust Funds filed a lawsuit in the United States District Court for the Northern District of Illinois, case number 2013 CV 6053 to pursue the delinquency;

WHEREAS, Pellegrini has previously entered into two payment plans and notes with the Trust Funds, Note #: 5140 and Note #: 0399;

WHEREAS, the Trust Funds, and Pellegrini have had the benefit of counsel and wish to resolve their disputes and enter into this Agreement of their own free will and with full knowledge of the terms and provisions contained herein;

THEREFORE, IN CONSIDERATION OF THE MUTUAL COVENANTS CONTAINED HEREIN, THE FOLLOWING IS AGREED:

1. Recitals. The representations above are hereby made a part of this agreement and are not mere recitals.

2. Payment. Pellegrini shall pay the Trust Funds the total sum of three hundred twenty six thousand nine hundred seventy six dollars and 26/100 cents ($326,976.26), "total amount due," plus interest at the rate of 7.25% per month. The total amount due represents the following: 1) unpaid contributions in the amount of $223,392.87 for the months of May, June, August, September, October and November 2013; 2) $29,265.37 in liquidated damages and interest for those months; 3) $42,111.56 in liquidated damages for the time period of May 31, 2012 through April 30, 2013, July 2013 and December 2013; 4) $14,305.15 for promissory note #5140 signed on March 15, 2012; 5) $15,811.31 for promissory note # 0399 executed on August 15, 2012; and 6) $2,090.00 for attorney fees and costs. Pellegrini shall pay the total amount due in twenty-four (24) equal installments with interest in accordance with the payment schedule attached as Exhibit A. Each payment shall be in the amount of $14,676.66. The first payment shall be made March 1, 2014. All subsequent payments shall be due on the 1st of the following month. All payments shall be made payable to the Plumbers' Local 130 Payment Plan Account and mailed to directly to the Plumbers' Local 130 Payment Plan Account, PO Box 94486, Chicago, IL 60690.

3. Release. In consideration for the above payments, the Trust Funds, for themselves, their trustees, participants, beneficiaries, agents, assigns, representatives attorneys and employees, release and forever discharge Dan Pellegrini and Pellegrini and its owners, officers, directors, shareholders, successors, assigns, agents, representatives, attorneys, affiliates and employees from any and all claims related to 1) unpaid contributions in the amount of $223,392.87 for the months of May, June, August, September, October and November 2013; 2) $29,265.37 in liquidated damages and interest for those months; 3) $42,111.56 in liquidated damages for the time period of May 31, 2012 through April 30, 2013, July 2013 and December 2013; 4) $14,305.15 for promissory note #5140 signed on March 15, 2012; 5) $15,811.31 for promissory note # 0399 executed on August 15, 2012; and 6) $2,090.00 for attorney fees and all interest. Upon execution of this Agreement, the parties will seek to dismiss the currently pending lawsuit in the Northern District of Illinois, Case # 13 CV 6053.

4. Default. If Pellegrini misses or is late on a payment referenced in Paragraph 2 the Trust Funds will give written notice of the delinquency to Pellegrini with an opportunity to cure the delinquency. Pellegrini will have seven days (7) days to cure the delinquency after written notice. In the event Pellegrini fails to cure the delinquency within the cure period or if Pellegrini is subject to any bankruptcy or insolvency proceedings; or dissolves or is in default of a payment or any installment hereof (the occurrence of any of the foregoing events hereinafter to be called an "event of default"), then the Trust Funds, without notice to the undersigned, or to any of them may declare the entire balance due and pursue any of its legal rights and remedies both in law and equity. In the event of default, interest shall accrue on the unpaid balance at the rate of 7.5% per annum compounded monthly as set forth in the Trust Agreements, and Pellegrini shall also be liable for the Trust Fund's attorneys' fees and costs associated with enforcing this agreement.

5. Current Reports. Pellegrini agrees to stay current on its fringe benefit reporting obligations for the month of March 2014 forward during the terms of this Agreement. In the event that Pellegrini is not current on its fringe benefit reporting obligations the Trust Funds may declare Pellegrini in default of this agreement pursuant to Paragraph 4.

6. Prior Notes; It is expressly understood by all parties that this agreement includes in its terms the two prior promissory notes executed by Pellegrini, notes #'s 5140 and 0399 and the balance owed under those notes. Attached as Exhibit B for reference is a copy of the notes. All amounts currently owed on those notes are included in this payment plan and all parties understand that this agreement is the only outstanding promissory note signed by Pellegrini.

7. UCC Statement: The terms of this Agreement are subject to the execution by an authorized representative of Pellegrini of the attached UCC 1 Financing Statement. Attached as Exhibit C. Pellegrini and the Trust Funds recognize the need for the financing statement to be executed and the Trust Funds to have secured collateral in case of default by Pellegrini.

8. Personal Liability. The undersigned individual, Dan Pellegrini, for Pellegrini Plumbing LLC., shall be personally liable, individually and/or jointly, for all amounts owed in the event that Pellegrini Plumbing, LLC, is in default. Dan Pellegrini hereby agrees and authorizes any attorney for the Trust Funds to appear for the Trust Funds at any time after default in the payment of any installment of the principal hereof, and confess judgment without process in favor of the Trust Funds for any amount that remains unpaid under this Agreement along with reasonable costs of collection including reasonable attorney's fees, and to consent to immediate execution of judgment.

9. Entire Agreement: This Settlement Agreement constitutes the entire Agreement between the parties and supersedes all prior and contemporaneous agreements, if any, between the parties relating to the subject matter hereof. In the event that any provision of this Agreement is found to be invalid or unenforceable, the remaining provisions shall not be affected.

10. Execution of the Document: Each of the undersigned has read this Settlement Agreement, understands its contents, and is authorized to sign on behalf of the entities listed below. This document may be signed in separate counterparts which will have the same effect as if signed on one document. Photocopied or facsimile copied signatures shall have the same effect as the original signatures.

IN WITNESS WHEREOF, the parties have caused this instrument to be properly executed as of the date first written above.

EXHIBIT A: Payment Schedule

INSTALLMENT NOTE

WHEREAS, DANIEL PELLEGRINI and KIMBERLY PILIPAVICHIUS ("OBLIGORS"), are indebted to the PLUMBERS" PENSION FUND, LOCAL 130, U.A., PLUMBERS' WELFARE FUND, LOCAL 130, U.A., THE TRUST FUND FOR APPRENTICE AND JOURNEYMAN EDUCATION AND TRAINING, LOCAL UNION 130, U.A., and CHICAGO JOURNEYMEN PLUMBERS' LOCAL UNION 130, U.A., GROUP LEGAL SERVICES PLAN FUND, ("FUNDS"), THE PLUMBING COUNCIL of CHICAGOLAND ("COUNCIL"), and CHICAGO JOURNEYMEN PLUMBERS' LOCAL UNION 130, U.A., ("UNION"), in varying amounts relating to an audit covering the period November 1, 2009 through July 31, 2010, which audit is the predicate for the following Lawsuit: James T. Sullivan, etc., et al., v. Kimberly Pilipavichius aka Kimberly Knutson d/b/a Pellegrini Plumbing Company, et al., 11 C 2664;

WHEREAS, the aggregate total indebtedness so owing to funds, Council, and Union is FORTY-FIVE THOUSAND FIVE HUNDRED SEVENTY-ONE and 92/100 DOLLARS ($45,571.92);

WHEREAS, the Funds, Union, and Council are mutually agreed among themselves that Plumbers Welfare Fund, Local 130, U.A. (hereafter Welfare Fund) is authorized to collect the aforesaid indebtedness and shall have full responsibility for distributing all amounts so collected in the proper proportions among the various Funds, Union, and Council;

WHEREAS, in consideration of the promises contained herein, the Funds, Union, and Council hereby agree, by acceptance of this Note, to voluntarily dismiss the Lawsuit; provided, however, that nothing contained herein shall in any way restrict the Funds, Union, and Council, or any of them, from collecting all other payments that are due or may become due or otherwise enforcing all provisions of any collective bargaining agreement or other contract to which the Obligors are parties;

NOW, THEREFORE, FOR VALUE RECEIVED, the undersigned promise to pay to the order of ROETZEL & ANDRESS, LPA, as agent for the Funds, Council, and Union, the principal sum of FORTY-FIVE THOUSAND FIVE HUNDRED SEVENTY-ONE and 92/100 DOLLARS ($45,571.92), plus interest on the balance of principal remaining from time to time unpaid at a rate of 7.25% per annum as follows:

Interest shall accrue from March 15, 2012.

The first payment in the amount of $2,050.00 shall be due on March 15, 2012. Thereafter Obligations shall make 23 monthly payments of principal and interest in the amount of $2,050.00. Remaining payments shall be due on the fifteenth day of each succeeding month.

The undersigned hereby expressly waives any requirement that the Welfare Fund notify or otherwise advise it that any such payment may be due.

This Note may be prepaid in part or in full at any time without penalty. All payment on account of the indebtedness represented by this Note shall be applied first to accrued and unpaid interest and then the remainder to principal, Any payment not made when due shall bear interest thereafter at the rate of twenty-four percent (24%) per annum.

Payment of both principal and interest shall be made at the offices of ROETZEL & ANDRESS, LPA, 20 North Clark Street, Suite 3200, Chicago, Illinois 60602 or at such other place as the legal holder hereof may from time to time in writing appoint.

It is hereby expressly understood and agreed that on default in the payment of any installment, or any part thereof, when due, the holder hereof may elect to accelerate this Note and declare the same immediately payable without notice or demand of any kind on any party to this instrument by said holder.

It is further expressly understood and agreed that, until this Note is fully paid and satisfied, if Obligors, their successors or assigns should fail to hereafter make any payment of any kind due under, or abound Obligors, their successors or assigns fail to otherwise comply with all provisions of any collective bargaining agreement or other contract in force, now or hereafter, between Obligors (including their successors or assigns), their agents and Union and if any such failure shall continue for a period of ten (10) business days after notice of such failure to pay or comply is provided to Obligors, their successors, assigns, or attorneys, their all liabilities to the Funds, Union, and Council, or any of them, including this Note, shall, at the option of the Funds, Union, or Council, mature and become immediately due and fully payable without further demand or notice to Obligors by the Funds, Union and Council, or any of them, any requirement of notice of whatever kind or description being hereby waived. Provided, further, that any notice relating to this Note shall be deemed made when such notice is deposited in the U.S. Postal Service in a correctly addressed envelope with proper postage affixed, or upon hand delivery:

Either the Welfare Fund or Company may unilaterally choose to give any mail notice via certified mail, return receipt requested without notice to the other of such election. Should either the Welfare Fund or Company so elect, any such notice shall be deemed given and made when deposited with the U.S. Postal Service in a correctly addressed envelope with proper potage affixed. Neither the refusal of the addressee to accept any such notice mailed via certified mail, return receipt requested, nor the failure of the addressee to pick up or otherwise obtain any such notice mailing from the U.S. Postal Service, after having been notified by it of a mailing's availability for pick-up, shall in any way affect the validity, legal or otherwise, of the giving of any such notice.

The undersigned will pay on demand all costs of collection, legal expenses, and reasonable attorneys' fees incurred or paid by the Funds, Union, and Council, or any of them, or by the holder, in collecting or enforcing this Note on default for any reason.

No delay or omission on the part of the Funds, Union, and Council, or any of them, in exercising any right hereunder shall operate as a waiver of such rights or of any other right under this Note. A waiver on any one occasion shall not be construed as a bar to or a waiver of any right or remedy on any future occasion.

The undersigned irrevocably authorizes any attorney of any Court of Record to appear for it in such Court if this Note is not paid when due or if this Note is accelerated pursuant to the terms hereof, and at any time thereafter, whether in term time or vacation, to confess judgment, without process, in favor of the Funds, Union, and Council, or any of them, or the holder of this Note, for such amount as may appear to be due and unpaid hereon, together with costs, expenses, and fees (including reasonable attorneys' fees) as provided herein, and to waive and release all errors which may intervene in any such proceedings, and consent to immediate execution upon such judgment, hereby ratifying and confirming all that said attorney may do by virtue hereof. The undersigned consents to the jurisdiction of the courts of any State, including Illinois, in which a lawsuit to enforce this Note is filed.

It is further mutually agreed that this Note may be enforced, by confession, suit, or otherwise, by the Welfare Fund individually, or by any holder hereof.

All parties hereto hereby severally waive presentment for payment, notice of dishonor and protest.

This instrument was signed and executed in Cook County, Illinois, effective this 15th day of March 2012.

INSTALLMENT NOTE WITH PERSONAL GUARANTY

WHEREAS, PELLEGRINI PLUMBING LLC (the "Company"), is indebted to the PLUMBERS' PENSION FUND, LOCAL 130, U.A., PLUMBERS' WELFARE FUND, LOCAL 130, U.A., THE TRUST FUND FOR APPRENTICE AND JOURNEYMEN EDUCATION AND TRAINING, LOCAL UNION 130, U.A., CHICAGO JOURNEYMEN PLUMBERS' LOCAL UNION 130, U.A. GROUP LEGAL SERVICES PLAN FUND, LOCAL UNION 130, U.A. SAVINGS PLAN, and PLUMBERS' RETIRMENT SAVINGS FUND, LOCAL 130, U.A. (hereafter collectively referred to as the "Funds"), THE PLUMBING COUNCIL OF CHICAGOLAND (hereinafter referred to as "Council"), and CHICAGO JOURNEYMEN PLUMBERS' LOCAL UNION 130, U.A. (hereafter referred to as "Union"), in varying amounts relating to failure of Company to timely pay contributions, dues, and late charges for September and November, 2010, and January and November, 2011, due and owing Funds, Union, and Council;

WHEREAS, the aggregate total indebtedness so owing to Funds, Council, and Union (including legal fees charged in preparing this Installment Note With Personal Guaranty) is THIRTY THREE THOUSAND FOUR HUNDRED SEVENTY FIVE and 40/100 DOLLARS ($33,475.40);

WHEREAS, the Funds, Union, and Council are mutually agreed among themselves that Plumbers' Welfare Fund, Local 130, U.A. (hereafter Welfare Fund) is authorized to collect the aforesaid indebtedness and shall have full responsibility for distributing all amounts so collected in the proper proportions among the various Funds, Union, and Council;

WHEREAS, in consideration of the promises contained herein, the Funds, Union, and Council hereby agree, by acceptance of this Note, to forebear from filing and pursuing an appropriate lawsuit to collect the aforesaid indebtedness; provided, however, that nothing contained herein shall in any way restrict the Funds, Union, and Council, or any of them, from collecting all other payments that are due or may become due or otherwise enforcing all provisions of any collective bargaining agreement or other contract to which the Company is a party;

NOW, THEREFORE, FOR VALUE RECEIVED, the undersigned promises to pay, to the order of ROETZEL & ANDRESS, as agent for the Funds, Council, and Union, the principal sum of THRITY THREE THOUSAND FOUR HUNDRED SEVENTY FIVE and 40/100 DOLLARS ($33,475.40), plus interest on the balance of principal remaining from time to time unpaid at a rate of 7.25% per annum as follows:

Interest shall accrue from August 15, 2012.

The first payment in the amount of $1,505.00 shall be due on August 15, 2012. Thereafter Company shall make 23 monthly payments of principal and interest in the amount of $1,505.00. Remaining payments shall be due on the first day of each succeeding month.

The undersigned hereby expressly waives any requirement that the Welfare Fund notify or otherwise advise it that any such payment may be due.

This Note may be prepaid in part or in full at any time without penalty. All payments on account of the indebtedness represented by this Note shall be applied first to accrued and unpaid interest and then the remainder to principal. Any payment not made when due shall bear interest thereafter at the rate of twenty-four percent (24%) per annum.

Payment of both principal and interest shall be made at the offices of ROETZEL & ANDRESS, 20 North Clark Street, Suite 3200, Chicago, Illinois 60602 or at such other place as the legal holder hereof may from time to time in writing appoint.

It is hereby expressly understood and agreed that on default in the payment of any installment, or any part thereof, when due, the holder hereof may elect to accelerate this Note and declare the same immediately payable without notice or demand of any kind on any party to this instrument by said holder.

It is further expressly understood and agreed that, until this Note is fully paid and satisfied, if Company, its successors or assigns should fail to hereafter make any payment of any kind due under, or should Company, its successors or assigns fail to otherwise comply with all provisions of any collective bargaining agreement or other contract in force, now or hereafter, between Company (including its successors or assigns), its agents and Union and if any such failure shall continue for a period of ten (10) business days after notice of such failure to pay or comply is provided to Company, its successors, assigns, or attorneys, then all liabilities to the Funds, Union, and Council, or any of them, including this Note, shall, at the option of the Funds, Union, or Council, mature and become immediately due and fully payable without further demand or notice to Company by the Funds, Union, and Council, or any of them, any requirement of notice of whatever kind or description being hereby waived. Provided, further, that any notice relating to this Note shall be deemed made when such notice is deposited in the U.S. Postal Service in a correctly addressed envelope with proper postage affixed, or upon hand delivery.

Either the Welfare Fund or Company may unilaterally choose to give any mail notice via certified mail, return receipt requested without notice to the other of such election. Should either the Welfare Fund or Company so elect, any such notice shall be deemed given and made when deposited with the U.S. Postal Service in a correctly addressed envelope with proper postage affixed. Neither the refusal of the addressee to accept any such notice mailed via certified mail, return receipt requested, nor the failure of the addressee to pick up or otherwise obtain any such notice mailing from the U.S. Postal Service, after having been notified by it of a mailing's availability for pick-up, shall in any way affect the validity, legal or otherwise, of the giving of any such notice.

The undersigned will pay on demand all costs of collection, legal expenses, and reasonable attorneys' fees incurred or paid by the Funds, Union, and Council, or any of them, or by the holder, in collecting or enforcing this Note on default for any reason.

No delay or omission on the part of the Funds, Union, and Council, or any of them, in exercising any right hereunder shall operate as a waiver of such rights or of any other right under this Note. A waiver on any one occasion shall not be construed as a bar to or a waiver of any right or remedy on any future occasion.

The undersigned irrevocably authorizes any attorney of any Court of Record to appear for it in such Court if this Note is not paid when due or if this Note is accelerated pursuant to the terms hereof, and at any time thereafter, whether in term time or vacation, to confess judgment, without process, in favor of the Funds, Union, and Council, or any of them, or the holder of this Note, for such amount as may appear to be due and unpaid hereon, together with costs, expenses, and fees (including reasonable attorneys' fees) as provided herein, and to waive and release all errors which may intervene in any such proceedings, and consent to immediate execution upon such judgment, hereby ratifying and confirming all that said attorney may do by virtue hereof. The undersigned consents to the jurisdiction of the courts of any State, including Illinois, in which a lawsuit to enforce this Note is filed.

It is further mutually agreed that this Note may be enforced, by confession, suit, or otherwise, by the Welfare Fund individually, or by any holder hereof.

All parties hereto hereby severally waive presentment for payment, notice of dishonor and protest.

This instrument was signed and executed in Cook County, Illinois, effective this 15th day of August, 2012.

GUARANTY

FOR VALUE RECEIVED, the undersigned Guarantors hereby absolutely and unconditionally guarantee prompt payment of this Note and agree to pay all costs, legal expenses, and reasonable attorneys' fees incurred by or paid by the Funds, Union, and Council, or any of them, in collection and enforcement of this Note or this Guaranty.

The undersigned Guarantors certify that they have read the foregoing Note and fully understand all of the provisions thereof. The undersigned Guarantors further affirmatively state that they intend to be personally bound by each and every provision of the foregoing Note.

The undersigned Guarantors expressly waive the requirement of any Notice that is to be given or provided to them as Guarantors of this Note, and further agree that this Guaranty shall be honored by them regardless of any reason or excuse that they may have in support of any non-compliance with any term or provision of the foregoing Note.

The undersigned Guarantors agree that the Guaranty may be enforced, by confession, suit, or otherwise, by the Welfare Fund individually, or by any holder hereof.

The undersigned Guarantors hereby waive presentment for payment, notice of dishonor, and protest.

The undersigned Guarantors irrevocably authorize any attorney of any Court of Record to appear for them in such Court if this Note is not paid when due or if this Note is accelerated pursuant to the terms hereof, and at any time thereafter, whether in term time or vacation, to confess judgment, without process, in favor of the Funds, Union, and Council, or any of them, or the holder of the foregoing Note, for such amount as may appear to be due and unpaid thereon, together with costs, expenses, and fees (including reasonable attorneys' fees) as provided herein or in the foregoing Note, and to waive and release all errors which may intervene in any such proceedings, and consent to immediate execution upon such judgment, hereby ratifying and confirming all that said attorney may do by virtue hereof. Guarantors consent to the jurisdiction of the courts of any State, including Illinois, in which a lawsuit to enforce this Guaranty is filed.

This instrument was signed and executed in Cook County, Illinois, effective this 15th day of August, 2012.

JUDGMENT ORDER

It is ordered that Plaintiff, PLUMBERS' PENSION FUND, LOCAL 130, U.A., et al. (collectively referred to as the "Local 130 Trust Funds"), recover from Defendant, PELLEGRINI PLUMBING, LLC, (hereinafter "PELLEGRINI"), the sum of Six Hundred One Thousand, Nine Hundred Sixty and 54/100 Dollars ($601,960.54). As of the date of filing, based on the 8% liquidated damages provision, and interest rate, Pellegrini would confess to judgment to Forty-Eight Thousand One Hundred Fifty-Six and 84/100 Dollars ($48,156.84) in liquidated damages, and Sixty-Seven Thousand, Eight Hundred Fifty and 00/100 Dollars ($67,850.00) in interest. Pellegrini would also confess judgment to reasonable attorney fees.