Hempt Bros, Inc. v. Myers, A.

CourtSuperior Court of Pennsylvania
DecidedOctober 28, 2021
Docket1009 EDA 2020
StatusUnpublished

This text of Hempt Bros, Inc. v. Myers, A. (Hempt Bros, Inc. v. Myers, A.) is published on Counsel Stack Legal Research, covering Superior Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hempt Bros, Inc. v. Myers, A., (Pa. Ct. App. 2021).

Opinion

J-A05028-21

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT I.O.P. 65.37

HEMPT BROS, INC. : IN THE SUPERIOR COURT OF : PENNSYLVANIA : v. : : : ALLAN A. MYERS, L.P., ARCH : INSURANCE COMPANY, AND : SAFECO INSURANCE COMPANY OF : No. 1009 EDA 2020 AMERICA : : Appellant : : ----------------------------------------- : ALLAN A. MYERS, L.P. : v. : : : HEMPT BROS, INC. :

Appeal from the Judgment Entered March 6, 2020 In the Court of Common Pleas of Montgomery County Civil Division at No(s): No. 2012-14292, No. 2014-00307

HEMPT BROS, INC. : IN THE SUPERIOR COURT OF : PENNSYLVANIA Appellant : : : v. : : : ALLAN A. MYERS, L.P., ARCH : No. 1018 EDA 2020 INSURANCE COMPANY, AND SAFECO : INSURANCE COMPANY OF AMERICA - : --------------------------------------- : ALLAN A. MYERS, L.P. : v. : : : HEMPT BROS, INC. : : J-A05028-21

Appellant :

Appeal from the Judgment Entered March 6, 2020 In the Court of Common Pleas of Montgomery County Civil Division at No(s): No. 2012-14292, No. 2014-00307

BEFORE: OLSON, J., NICHOLS, J., and STEVENS, P.J.E.*

MEMORANDUM BY NICHOLS, J.: Filed: October 28, 2021

Appellants/Cross-Appellees Allan A. Myers, L.P., Arch Insurance

Company, and Safeco Insurance Company of America (collectively, Myers)

appeal from the final judgment entered in favor of Appellee/Cross-Appellant

Hempt Bros., Inc. (Hempt), following a jury trial and the resolution of post-

trial motions in these consolidated actions. Myers challenges (1) the trial

court’s denial of its motion for summary judgment; (2) the trial court’s denial

of Myers’ proposed jury instruction concerning total cost damages, (3) the

jury’s findings concerning damages in four of the eight claims, and (4) the

trial court’s denial of its motion for compulsory non-suit. In its cross-appeal,

Hempt challenges the pre-judgment interest aspect of the judgment. For the

reasons set forth herein, we affirm in part and reverse in part the trial court’s

decision on Myers’ post-trial motion, vacate the judgment, and remand this

matter for a new trial limited to Hempt’s damages for overtime for excessive

handwork. Because our decision in Myers’ appeal sets aside the judgment,

we dismiss Hempt’s cross-appeal as premature.

____________________________________________

* Former Justice specially assigned to the Superior Court.

-2- J-A05028-21

The trial court summarized the background of these cases as follows:

[O]n August 28, 2009, the Commonwealth of Pennsylvania, [Myers], and the Pennsylvania Department of Transportation (“PennD[OT]”) entered into a contract for the reconstruction of a segment of I-476 (also known as the “Blue Route”) located in Montgomery County, Pennsylvania (the “Project”). Myers was the general contractor for the Project. On January 26, 2010, [Hempt] and Myers entered into a written agreement (the “Subcontract”), in which Hempt agreed to perform specific areas of concreate paving work for the mainline and ramps of I-476 from the Schuylkill Expressway to the Mid-County Interchange of the Pennsylvania Turnpike. Hempt was a subcontractor to Myers for the Project pursuant to the terms and conditions of the Subcontract Agreement. Arch Insurance Company (“AIC”) and Safeco Insurance Company of America (“Safeco”) were Myers’ payment and performance bond sureties that furnished statutorily required payment bonds for the project to guarantee the payment of materials and labor supplied or performed on the Project. Liberty Mutual is the successor or assignee of Safeco and as such is obligated to pay or defend claims made against the Safeco Bond.

On or about June 1, 2012, Hempt filed a Complaint against [Myers] and Liberty Mutual for breach of contract, unjust enrichment and failure of the sureties to make payments to Hempt for work done for the Project.[1] On July 11, 2013, Hempt filed a Second Amended Complaint against [Myers]. The Amended Complaint included more specificity regarding the factual averments supporting the breach of contract claim. The Complaint contained three counts: (I) breach of contract against Myers, (II) breach of AIC’s bond, and (III) breach of Safeco’s bond. The breach of contract claim consisted of two categories: ____________________________________________

1 Hempt’s action against Myers was docketed at 2012-14292 in the trial court.

Although Hempt initially named Liberty Mutual Insurance Company as a party, the trial court entered an order sustaining preliminary objections, noting that “[u]pon agreement of all the parties, all claims against Liberty Mutual Insurance Company are dismissed,” and directing Hempt to file an amended complaint. Order 10/2/12. Hempt did not name or caption Liberty Mutual Insurance Company as a party in its amended complaints. As discussed below, the judgment entered at 2012-14292 disposed of all remaining parties and claims. See Pa.R.A.P. 341(a), (b)(1).

-3- J-A05028-21

claims for additional costs incurred performing subcontract work, including, 1) failing to pay for overtime for excessive handwork, 2) increased costs on account of the batch plant, 3) increased forming and placing costs for concrete paving work, 4) cold weather work, 5) lost production at Plymouth Creek Bridge, 6) concrete overruns, 7) extra grinding work, as well as 8) claims for unpaid estimates. Hempt’s claims against AIC and Safeco arose out of their refusal to pay Hempt on behalf of their principal, Myers. Myers filed preliminary objections to the Second Amended Complaint, which the [trial c]ourt denied. On December 20, 2013, Myers filed an Answer to the Second Amended Complaint with New Matter and Counterclaim. On December 22, 2017, Myers filed a Motion for Summary Judgment, which was denied by the Court on August 14, 2018.

On January 6, 2014, [Allan A. Myers, L.P.] initiated a separate action against Hempt in the Montgomery County Court of Common Pleas, case no. 2014-00307 [(2014-00307),] by writ of summons. On July 28, 2017, [Allan A. Myers, L.P.] filed a Complaint against Hempt containing two counts: (1) breach of contract, and (2) quantum meruit. The breach of contract claim was based on alleged inefficiencies of Hempt in failing to timely and fully perform in accordance with the Subcontract and “actively interfering with [Allan A. Myers, L.P.’s] operations on the project[.]” On November 3, 2017, Hempt filed an Answer with New Matter and Counterclaim. [Allan A. Myers, L.P.] filed preliminary objections to Hempt’s counterclaim based on pendency of a prior action. By Order dated January 18, 2018, the [trial c]ourt sustained [Allan A. Myers, L.P.’s] preliminary objections to Hempt’s counterclaim and defense of setoff in part, on the basis of pendency of a prior action, and consolidated the two, related cases. The [c]ourt directed [Allan A. Myers, L.P.] to respond to Hempt’s Counterclaim and New Matter within twenty days after notice of the Order, or, alternatively, for Hempt to withdraw them, in whole or in part, as duplicating claims set forth in the prior, now consolidated action.

The two cases were consolidated and proceeded to a two-week trial before a jury between October 28, 2019 through November 7, 2019; Hempt’s claims for breach of contract were presented before the jury and Myers’ claims of breach of contract also went to the jury.

Trial Ct. Op., 8/3/20, at 1-3 (record citations omitted).

-4- J-A05028-21

We add that Hempt’s and Myers’ respective actions claimed the other

party was responsible for delays and other damages during the Project.

Specifically, Hempt asserted at trial that Hempt and Myers agreed to negotiate

special payments for the “handwork” Hempt needed to complete the concrete

work because they could not anticipate the amount of handwork involved

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Hempt Bros, Inc. v. Myers, A., Counsel Stack Legal Research, https://law.counselstack.com/opinion/hempt-bros-inc-v-myers-a-pasuperct-2021.