Gustine Uniontown Associates Ltd. v. Anthony Crane Rental Inc.

49 Pa. D. & C.4th 233, 2000 Pa. Dist. & Cnty. Dec. LEXIS 124
CourtPennsylvania Court of Common Pleas, Alleghany County
DecidedJuly 18, 2000
Docketno. GD99-12166
StatusPublished
Cited by1 cases

This text of 49 Pa. D. & C.4th 233 (Gustine Uniontown Associates Ltd. v. Anthony Crane Rental Inc.) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Alleghany County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gustine Uniontown Associates Ltd. v. Anthony Crane Rental Inc., 49 Pa. D. & C.4th 233, 2000 Pa. Dist. & Cnty. Dec. LEXIS 124 (Pa. Super. Ct. 2000).

Opinion

WETTICK JR.,

Defendants’ preliminary objections raising statute of limitations defenses based on the limitations provisions for civil actions of the Judicial Code (42 Pa.C.S. §§5521-5538) are the subject of this opinion and order of court.1 The issue raised through these preliminary objections is whether December 20,1982 amendments to the limitation provisions of the Judicial Code reduced the limitation period for claims for the breach of a written contract governing the construction of real estate from six years to four years. There is not any appellate court case law that has resolved this issue.

I recognize that the Rules of Civil Procedure provide for the defense of the statute of limitations to be raised in an answer as new matter. These statute of limitations defenses are being considered at this stage of the proceedings at the suggestion of the parties because the availability of the discovery rule will be a significant factual issue in this litigation if I do not accept plaintiff’s position that its claims are governed by a six-year limitation period.2

This lawsuit arises out of the development of a shopping center on an area of land of approximately 29 acres. The shopping center includes a Wal-Mart store, a Foodland store, a Family Toy Warehouse store, a Reveo store, and miscellaneous retail stores in areas designated [236]*236as shops A, B, and C. Plaintiff is the developer/owner. The work was substantially completed in September 1993. In 1995, plaintiff became aware of movement and/ or heaving of a floor slab in certain locations of the WalMart building. In late 1995 and 1996, movement and/or heaving was discovered in other buildings. By early 1998, movement and/or heaving had occurred in floor slabs of all buildings, sidewalks, and parking lots.

Plaintiff commenced this lawsuit on July 30, 1999 by filing a praecipe for a writ of summons. A complaint was filed on January 27, 2000 which includes claims against numerous entities involved in the design and construction of this shopping center. Most of the entities had contracts with plaintiff. Plaintiff’s complaint raises the following causes of action: breach of contract; breach of implied warranties; breach of the duties of good faith and fair dealings; misrepresentation/concealment; and professional negligence.

It is plaintiff’s position that each cause of action is governed by a six-year limitation period. Consequently, since the work was not substantially completed until September 1993, plaintiff’s claims are not barred by any statute of limitations. Thus, discovery in this lawsuit need not involve what plaintiff knew or should have known prior to July 30, 1995 or prior to July 30, 1997 or evidence relevant to the tolling of the statute of limitations under the repair doctrine.

This litigation is governed by the statute of limitations periods established in the December 20, 1982 amendments to the Judicial Code. The six-year limitation period is set forth at section 5527; it reads as follows:

[237]*237“Any civil action or proceeding which is neither subject to another limitation specified in this subchapter nor excluded from the application of a period of limitation by section 5531 (relating to no limitation) must be commenced within six years.”

Defendants’ argument that this provision does not apply is very straightforward: Under the clear language of section 5527, this six-year limitation period covers only civil actions or proceedings that are not subject to another limitation period.

Plaintiff’s breach of contract claims are based on written agreements so these claims come within the plain meaning of 42 Pa.C.S. section 5525(8) which reads as follows:

“The following actions and proceedings must be commenced within four years: ...

“(8) An action upon a contract, obligation or liability founded upon a writing not specified in paragraph (7), under seal or otherwise, except in actions subject to another limitation specified in this subchapter.”

Plaintiff’s warranty claims are based on warranties implied in law. Consequently, they come within the plain meaning of section 5525(4) which reads as follows:

“The following actions and proceedings must be commenced within four years: ...

“(4) An action upon a contract implied in law, except an action subject to another limitation specified in this subchapter.”

Plaintiff’s professional negligence and misrepresentation claims seek to recover damages for injury to real property. Consequently, they come within the plain meaning of section 5524(7) which reads as follows:

[238]*238“The following actions and proceedings must be commenced within two years: ...

“(7) Any other action or proceeding to recover damages for injury to person or property which is founded on negligent, intentional or otherwise tortious conduct or any other action or proceeding sounding in trespass, including deceit or fraud, except an action or proceeding subject to another limitation specified in this sub-chapter.”

Plaintiff offers the following response to defendants’ argument:

Prior to 1982, construction contracts involving real estate were governed by a six-year limitation period while contracts for the sale, construction, or furnishing of tangible property were governed by a four-year limitation period.3 Because, historically, construction contracts involving real estate were governed by longer limitation periods, courts should assume that any new legislation governing the statute of limitations for different actions preserves this pattern in the absence of an express reference to construction contracts involving real estate. Thus, the general reference in amended section 5525(8) to an action upon a contract founded upon a writing should not be construed to include a written construction contract involving real estate.

Ordinarily, I would summarily dismiss plaintiff’s argument. The language of section 5525(8) could not be clearer: a single limitation period of four years governs actions upon any written contracts unless there is another limitation period specified in the subchapter. Fur[239]*239thermore, construction contracts involving real estate are not esoteric transactions that the legislature might have overlooked. Consequently, since no other subsection refers to written contracts for the construction of real estate, the legislature intended for these contracts to be governed by the four-year limitation period of section 5525.

However, in 1992 the Pennsylvania Superior Court in Romeo & Sons Inc. v. P.C. Yezbak & Son Inc., 421 Pa. Super. 333, 617 A.2d 1320 (1992), ruled that under the 1982 amendments, contracts governing construction of housing and construction of commercial buildings are governed by the six-year limitation period of section 5527.

In Romeo, the owner brought an action against the contractor for the breach of contract governing the construction of a warehouse/office building. The suit was brought within six years of the completion of the project but more than four years after the owner became aware of the structural defects. The owner contended that its breach of contract action was governed by the six-year limitation period of section 5527.

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Related

Gustine Uniontown Associates, Ltd. v. Anthony Crane Rental, Inc.
842 A.2d 334 (Supreme Court of Pennsylvania, 2004)

Cite This Page — Counsel Stack

Bluebook (online)
49 Pa. D. & C.4th 233, 2000 Pa. Dist. & Cnty. Dec. LEXIS 124, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gustine-uniontown-associates-ltd-v-anthony-crane-rental-inc-pactcomplallegh-2000.