Gas Stop, LLC v. GP1, LLC

Superior Court of Delaware·Decided August 26, 2026·No. N25C-11-062 DJB·Published

Opinion

IN THE SUPERIOR COURT OF DELAWARE

GAS STOP, LLC, )

Plaintiff, )

)

v. ) Civ. Act. No. N25C-11-062 DJB )

GP1, LLC, GPM4, LLC, ) GPM6, LLC, ) GPM EMPIRE, LLC, and ) GPM INVESTMENTS, LLC, )

Defendants. )

Date Submitted: May 27, 2026 Date Decided: August 26, 2026

Memorandum Opinion

On Defendant’s Motion to Dismiss – DENIED

Matthew R. Conrad, Esquire, Daily LLP, Wilmington, Delaware, attorney for Plaintiff

Brandon R. Harper, Esquire, Duane Morris LLP, attorney for Defendant

BRENNAN, J.

This breach of contract dispute arises from a Purchase Agreement between

Plaintiff Gas Stop LLC (hereinafter “Plaintiff” or “Gas Stop”) and GPM1 LLC,

GPM4 LLC, GPM6 LLC, GPM Empire LLC, and GPM Investments LLC

(hereinafter, collectively, “Defendants”). Pursuant to the Purchase Agreement,

Plaintiff agreed to buy several gas stations from Defendants, which ultimately never

came to fruition. In its Complaint, Plaintiff alleges Breach of Contract (Count I),

seeks a declaratory judgment (Count II), alleges Fraud in the Inducement (Count

III), and Unjust Enrichment (Count IV).1 Plaintiff alleges Defendants were in breach

for their failure to timely close on the specified gas stations; Plaintiff seeks to void

the subsequent Amendment to the Purchase Agreement, and seeks return of its

deposits.2 Pending before the Court is Defendants’ Motion to Dismiss.3 For the

following reasons Defendants’ Motion should be DENIED.

I. FACTS4

On September 23, 2024, the parties executed the Purchase Agreement, under

which Defendants agreed to sell Plaintiff ten gas stations in Delaware.5 Pursuant to

that Agreement, Plaintiff made several deposits, at various times, totaling

1 Plaintiff’s Complaint, D.I. 1. 2 Id., ¶¶ 1-3. 3 D.I. 19. 4 The facts that form the basis of this Opinion are gleamed from the undisputed facts from the pleadings, and documentary exhibits submitted by the parties. 5 D.I. 1, ¶ 27, Ex. A at 1.

$1,025,000.00, toward the purchase price.6 The Agreement followed several months

of negotiations between Gas Stop representatives Usama “Sam” Husein (hereinafter

“Husein”) and Jaafter “Jeff” Eideh (hereinafter “Eideh”), Defendants’ Territory

Manager Carolyn Russo (hereinafter “Russo”), and Defendant DPM’s Regional

Sales Manager, Chris Manker (hereinafter “Manker”).7 The proposed sale originally

contemplated the sale of twelve gas stations, but ultimately only culminated in ten

stations being sold.8

A. The Purchase Agreement and Original Closing Date

Prior to finalizing the Purchase Agreement, and in connection with the

proposed sale, Gas Stop paid Defendants $100,000.00, entitled an “earnest

payment,” which served as an initial deposit.9 Eideh, on behalf of Gas Stop, paid

the earnest money payment on August 8, 2024, without having been informed that it

was nonrefundable. 10 The parties finalized and executed the Purchase Agreement

on September 23, 2024, which provided that closing would occur within sixty (60)

days, or in no event later than the close of 2024.11 Specifically, the Purchase

Agreement provided:

6 Id., ¶ 2.

7 8 Id., ¶¶ 18-19, 22. 9 Id., ¶¶ 23-24. 10 Id., ¶¶ 24-25. 11 Id., ¶¶ 27-28, Ex. A.

The Business Closing Upon the terms and conditions herein provided, Buyer shall take control of the Properties and its business (the “Business Closing,” and the date of such Business Closing, the “Business Closing Date”) which shall occur on a date mutually agreed by Seller and Buyer, but no later than sixty (60) days following the Effective Date; provided, however, that Seller may extend the Business Closing for up to an additional thirty (30) day period from the above-referenced sixty (60) day period, provided that Seller so notifies Buyer in writing of its election to so extend the Business Closing within ten (10) days prior to the expiration of the above-referenced sixty (60) day period.12 The Purchase Agreement spoke to the $100,000 earnest-money payment

previously made, as well as the anticipated $400,000 in additional deposit payments

that would be due, non-refundable except in the event of Defendants’ uncured

default. The Purchase Agreement stated:

Prior to the Effective Date, Buyer has deposited One Hundred Thousand and NO/100 Dollars ($100,000.00) (the “Initial Deposit”) with Seller, or an affiliate of Seller (the “Escrow Agent”), which is acknowledged by the Escrow Agent. Within two (2) business days of the expiration of the Inspection Period (as hereinafter defined), Buyer shall wire a non-refundable deposit in the amount of $400,000.00 (the “Additional Deposit,” collectively with the Initial Deposit, the “Deposit”). Upon receipt of the Additional Deposit, the Deposit shall become non-refundable, subject to any Seller uncured defaults under this Agreement. At the Business Closing, the Deposit shall be released to Seller from the Escrow Agent or other person holding such deposits and shall be applied towards amounts due to Seller at the Business Closing as provided for herein.13

12 Id., ¶ 28, Ex. A at 1.

13 Id., ¶ 35, Ex. A.

The Purchase Agreement detailed a procedure to address each store’s inventory prior

to closing. Per this agreement, the parties established a process which required

Defendants to provide Plaintiff with an estimated cost of the inventory, which

Plaintiff would then pay, subject to a refund of any overpayment.14

In October 2025, Plaintiff made four payments to GPM Investments, LLC,

totaling $525,000: (a) $125,000.00 on or about October 8, 2024, (b) $200,000.00 on

or about October 28, 2024; (c) $100,000.00 on or about October 29, 2024; and (d)

$100,000.00 on or about October 30, 2024.15 Despite these payments, Defendants

were not ready to close on the properties by the set closing deadline on November

24, 2024.16 During this time, Plaintiff was not able to access the properties to

complete inspection or inventory counts and reports.17 Without executing any sort

of written extension of the closing date within ten days prior, the parties failed to

close on November 24, 2024.18 The purported reason for Defendants’ failure to

close on the required date was due to Defendants’ preoccupation with other business

deals.19 Plaintiff informed Defendants that the delay “was problematic and costing

Plaintiff money.”20

14 Id., ¶¶ 33-34. 15 Id., ¶ 37. 16 Id., ¶ 38. 17 Id. 18 Id., ¶¶ 38-39. 19 Id., ¶ 40. 20 Id., ¶ 42.

B. The Extension of the Closing Date

On January 23, 2025, Russo, on behalf of Defendants, scheduled a new

closing date “for the week of February 25, 2025.”21 On February 6, 2025, Russo

informed Plaintiff that the inventory audit would be conducted and figures would be

provided to Plaintiff so it can wire the money covering store inventory costs.22

February 26, 2025 was ultimately set as the closing date.23 On February 20, 2025,

Russo informed Plaintiff the inventory payments totaled $1,275,000.00 and that the

money needed to be wired “no later than mid-day February 24, 2025” in order to

close the deal.24 Plaintiff informed Defendants that they would be unable to pay

such a large sum with such short notice, to which Defendant responded by informing

Plaintiff that a failure to pay would result in a forfeiture of all the deposits paid thus

far.25

Plaintiff then agreed to close on only five of the ten originally negotiated

stores.26 On February 24, 2025, Plaintiff made an additional $400,000 in deposit

payments ($155,000, $165,000, and $80,000); subsequently Plaintiff was informed

Defendants were only able to close on four of the now-negotiated five stores.27

21 Id., ¶ 47. 22 Id., ¶ 48. 23 Id. ¶ 49. 24 Id., ¶¶ 49-50. 25 Id., ¶ 54. 26 Id., ¶ 57. 27 Id., ¶ 60.

C. Amendment to the Agreement

On February 25, 2025, the day before the scheduled closing date, Defendants

requested Plaintiff, via Husein, execute and sign several documents. These

documents included the “First Amendment to Inventory Purchase & Dealerization

Agreement” (hereinafter the “Amendment”).28 The Amendment was prepared

entirely by Defendant and ultimately signed without review by Plaintiff’s counsel,

Eideh, or any other members of the company.29 Husein raised concern about

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Gas Stop, LLC v. GP1, LLC, (Del. Ct. App. 2026).

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