B & M Seasonal v. Snow Management

Superior Court of Pennsylvania·Decided July 14, 2025·No. 1200 MDA 2024·Unpublished

Opinion

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT O.P. 65.37

B&M SEASONAL SERVICES, LLC : IN THE SUPERIOR COURT OF : PENNSYLVANIA

:

v. :

:

:

SNOW MANAGEMENT, INC. :

:

Appellant : No. 1200 MDA 2024

Appeal from the Order Entered July 26, 2024 In the Court of Common Pleas of Luzerne County Civil Division at No(s):

201710734

BEFORE: BOWES, J., OLSON, J., and STABILE, J. MEMORANDUM BY BOWES, J.: FILED: JULY 14, 2025 Snow Management, Inc. (“Snow Management”) appeals from the order denying in part its post-trial motions and awarding a net monetary judgment in favor of B&M Seasonal Services, LLC (“B&M”) in the amount of $28,537.80, based upon various breach of contract claims asserted by both parties in this case. We affirm.

By way of background, Snow Management and B&M are both companies engaged in the business of snow plowing and ice removal. B&M also does general contracting and landscaping work. In October 2010, the parties entered into a Service Provider Contract (“SPC”) wherein B&M agreed to act as a subcontractor for Snow Management and perform snow removal services for several of Snow Management’s business clients. The terms of the SPC provided that the agreement became effective October 22, 2010, ended October 22, 2015, and required that Snow Management pay B&M’s invoices

within thirty days of receipt. The SPC also contained at Addendum A a non- compete and non-solicitation provision (“Non-Compete Agreement”), which bound the parties for two years after termination or cancellation of the SPC.

The parties generally operated harmoniously under the agreement throughout the written term. B&M would remove snow from client parking lots and chemically treat them, invoicing Snow Management roughly every two weeks. However, Snow Management was inconsistent in payment, sometimes rendering it within thirty days, and other times taking several months. B&M did not object or otherwise lodge any complaints to this practice. In 2015, Snow Management approached B&M about renewing their arrangement with a new written contract, a draft of which was prepared. B&M declined to execute it, indicating that it did not want to be locked into another long-term agreement. The parties nonetheless continued the business relationship, operating in accordance with the terms of the SPC.

One of the clients of Snow Management was Innovel Solutions, Inc.

(“Sears”), a logistics company affiliated with the Sears, Roebuck, and Co., chain of department stores. B&M did not perform work at any Sears location on behalf of Snow Management, which did all snow removal at these sites on its own. In January 2017, Sears terminated its existing contract with Snow Management. Roughly one month later, a representative from a Sears location in Gouldsboro, Pennsylvania reached out to B&M to solicit a bid to perform snow removal work for the remainder of the winter season. B&M

submitted a bid and was awarded the contract. Around this time, Snow Management and B&M ceased their business relationship.

On September 15, 2017, B&M initiated this matter by filing a complaint against Snow Management for unpaid invoices totaling $66,062 from the 2016-2017 winter season, asserting one count each of breach of contract and unjust enrichment. At the end of September, Snow Management’s existing contract with another one of its clients, TJX Companies (“TJ Maxx”), was set to expire. TJ Maxx therefore requested bids from between four to six companies, including Snow Management and B&M, for a new agreement.1 The two companies submitted bids, and the new contract was awarded to B&M. The agreement called for B&M to provide both snow removal and landscaping services.

In light of the above, Snow Management filed four counterclaims against B&M in December 2017: (1) breach of contract with respect to Sears; (2) breach of contract concerning TJ Maxx; (3) breach of contract as to B&M’s failure to pay Snow Management for certain services it performed on behalf of B&M;2 and (4) unjust enrichment as to the same. The parties engaged in

1 By this point in time, B&M had performed the actual snow removal at TJ Maxx on behalf of Snow Management for several years. Additionally, B&M had provided certain contracting-related services for TJ Maxx during the term of the SPC. Snow Management does not challenge B&M’s conduct in performing these other services.

2 There were several occasions where Snow Management assisted B&M by snowplowing the parking lot of a driver’s license center in Hanover, Pennsylvania. This agreement between the parties was oral.

discovery, including taking depositions of four people who were either employees or former employees of TJ Maxx.

The matter proceeded to a non-jury trial in February 2024. The testimony largely bore out the above facts. Furthermore, evidence was introduced concerning damage B&M caused to a salt shed maintained by Snow Management on the TJ Maxx property in question. The parties agreed to enter select portions of deposition transcripts into evidence.

Following trial, the court entered findings of fact and conclusions of law, which, as amended, make several distinct rulings that are pertinent to this appeal. First, the court concluded that with respect to B&M’s claim for breach of contract for unpaid invoices, Snow Management owed B&M $66,062.00. Despite this determination, though, the court noted that it did not find Snow Management to be in breach of the SPC provision requiring it to remit payments within thirty days, since late payment became a course of conduct between the parties. See Amended Findings of Fact and Conclusions of Law, 7/12/24, at 12 (“Snow Management’s continued payments to B&M complied with the accepted course of conduct pursuant to the [SPC] and, accordingly, Snow Management did not breach the [SPC].”).

Next, the court determined that B&M did not breach the Non-Compete Agreement when it submitted a bid and later executed an agreement to perform work for the Sears location in Gouldsboro because the evidence established that Snow Management previously only had agreements covering other Sears locations. Thus, the Gouldsboro Sears was not a “snow plowing

client” as the term was defined in the Non-Compete Agreement. Nonetheless, the court concluded that even if B&M did so breach, Snow Management failed to prove damages since Sears had terminated Snow Management beforehand and it would not have awarded Snow Management a new contract, regardless of B&M’s bid submission.

Finally, the court held that to the extent the new agreement between B&M and TJ Maxx called for landscaping services, those tasks fell outside the scope of the Non-Compete Agreement, and therefore B&M did not breach by entering into that aspect of the contract. It did find that B&M breached the Non-Compete Agreement by entering into an agreement with TJ Maxx to perform snow removal services. However, the court refused to award damages to Snow Management, holding that the company did not prove that it sustained resultant losses. This was for multiple reasons, namely due to Snow Management: (1) neglecting to parse out lost profits evidence between the snow removal and landscaping portions of the new contract between B&M and TJ Maxx; and (2) failing to convince the court that TJ Maxx would have awarded the new contract to Snow Management but for B&M’s involvement.

Snow Management submitted post-trial motions that, in part, challenged some of the invoices submitted by B&M and asked the court to reconsider its other findings. The court granted the motions in part and adjusted the award in B&M’s favor downward to $58,479.50. This number was then offset by $29,941.70 that the court found B&M owed to Snow Management based on damage B&M caused to Snow Management’s salt shed

and due to B&M’s failure to pay for work Snow Management did concerning the driver’s license center in Hanover. Hence, the net judgment was to B&M in the amount of $28,537.80.

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