Malesh v. Chechak

493 A.2d 106, 342 Pa. Super. 446, 1985 Pa. Super. LEXIS 8078
CourtSuperior Court of Pennsylvania
DecidedMay 17, 1985
DocketNos. 1461 and 1462
StatusPublished
Cited by2 cases

This text of 493 A.2d 106 (Malesh v. Chechak) 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
Malesh v. Chechak, 493 A.2d 106, 342 Pa. Super. 446, 1985 Pa. Super. LEXIS 8078 (Pa. Ct. App. 1985).

Opinion

WATKINS, Judge:

This case comes to us from separate orders entered by the Butler County Court of Common Pleas. On October 26, 1982, the lower court entered an order denying appellants’ motions for new trial, judgment n.o.v., and arrest of judgment. On November 15, 1982, the court below entered an order awarding counsel fees to counsel for plaintiffs (appellees). Separate appeals were filed to this Court, but have been consolidated for appeal purposes.

On or about the middle of November, 1977, the appellants and appellees entered into an oral agreement whereby the appellees would provide the labor for certain cement and concrete work requested by the appellants in a cattle barn located on appellants’ property. This oral agreement was subsequently reduced to writing on or about November 19, 1977. On or about December 22, 1977, the appellants dismissed appellees and directed them not to return to his premises or to perform any further work under the terms of the November 19, 1977 agreement. Appellants had advanced the sum of Three Hundred ($300.00) Dollars to appellee at the start of work. The completed contract price was One Thousand, Three Hundred ($1300.00) Dollars.

Appellees filed suit in the Court of Common Pleas of Butler County for the sum of $910.00 representing the amount allegedly owed to them for work performed. Appellants filed a counterclaim alleging improper workmanship and necessary repairs to the work performed.

The case was heard by a panel of arbitrators in Butler County and an award of $910.00 was made in favor of the appellees. Appellants subsequently filed an appeal requesting a jury trial which was held on September 28 and 29, 1982. The jury verdict was in favor of the appellees for the sum of $910.00.

[450]*450Upon discharge of the jury on September 29, 1982, the lower court, on its own motion, advised appellants that a further hearing was to be held on the awarding of counsel fees pursuant to 42 Pa.C.S.A. 2503(9). Shortly after the verdict, the appellants obtained new counsel who filed motions for new trial, judgment n.o.v. and in arrest of judgment which were subsequently denied by the court on October 26, 1982.

On November 15, 1982 following a hearing scheduled by the court, an order was entered awarding counsel fees in the amount of Four Hundred ($400.00) Dollars to counsel for the appellees.

On appeal, the appellants first contend that the trial court erred in its determination that counsel fees should be assessed against the appellants for vexatious or bad faith conduct during the course of litigation below solely on the basis that an appeal from compulsory arbitration was affirmed by a jury at a subsequent de novo trial.

Following dismissal of the jury in the case below, the court, on its own motion, addressed appellant Joseph Chechak and read to him Section 2503 of the Judicial Code which provides: “Participants shall be entitled to a reasonable counsel fee as part of the taxable costs of the matter. Subsection 9. Any participant who is awarded counsel fees because the conduct of another party in commencing the matter, or otherwise, was arbitrary, vexatious, or in bad faith;” The court then continued stating that “inasmuch as the verdict of the jury is identical with the arbitration award, and that you (referring to appellants) had an opportunity to settle this for Five Hundred Dollars, I find your conduct in this case was arbitrary and vexatious.”

Subsequently, a hearing was held on November 15, 1982. No motion, either oral or written, had been presented by appellees’ counsel requesting the granting of counsel fees pursuant to 42 Pa.C.S.A. 2503(9).

The court below concluded in its order as follows: “Its been my practice ... and this is the second or third time I [451]*451have done it ... when there is an appeal from arbitration and its the same verdict, you’re going to pay counsel fees.”

Appellants contend that the decision with respect to counsel fees pursuant to 42 Pa.C.S.A. 2503(9) of the Judicial Code is completely untenable and that the opinion of the lower court directly contradicts the specific provision of the Pennsylvania Constitution, the Judicial Code and the appellate decisions of this Commonwealth. We agree.

In the case of In re: Estate of Roos, 305 Pa.Superior Ct. 86, 451 A.2d 255 (1982), this Court held that the party requesting counsel fees pursuant to Section 2503(9) of the Judicial Code, has the burden of proof that the actions of the other party were arbitrary, vexatious, or in bad faith.

In the instant case, the appellees (plaintiffs) did not present proof as to the arbitrary, vexatious or bad faith actions of the appellants. In fact, the appellees offered no evidence with respect to such a claim other than a statement of services rendered by their counsel. The trial court offered no reasons for its actions other than that the verdict was identical to the arbitration award and that the appellant had had an opportunity to settle for $500.00. Clearly the burden of proof had not been sustained at the hearing for the award of counsel fees.

Absent a showing of an arbitrary, vexatious, or bad faith action on the part of the appellants the lower court could not impose these fees. If we sustained such action this would have a chilling effect upon the rights of a litigant to request the constitutionally guaranteed jury trial provided in the Pennsylvania Constitution. The decision by the lower court was in direct contradiction to the Pennsylvania Constitution, Article 5, Section 9 which provides in part: “There shall be a right of appeal in all cases to a court of record from a court not of record; ...”

The appeal from the compulsory arbitration was an appeal from a court not of record (as provided in Compulsory Arbitration Rules) to a court of record. The appellants [452]*452exercised their right to appeal under the Pennsylvania Constitution.

The opinion of the lower court also violates the specific provisions of the Pennsylvania Judicial Code which has specific guidelines governing judicial arbitration. The Rules of Judicial Administration governing Compulsory Arbitration of civil matters specifically provide: “Any party to a matter shall have the right to appeal for trial de novo in the court.” 42 Pa.C.S.A. 7361(d).

The opinion of the lower court in this case abrogates the statutorily mandated right of appeal and effectively destroys the rights granted under the Judicial Code by causing any litigant who wishes to appeal from compulsory arbitration and exercises constitutional rights to place himself at the mercy of the trial court in the event that the litigant’s appeal is unsuccessful.

In light of these facts, this Court has no alternative but to reverse the award of counsel fees by the lower court.

Appellants next contend that the trial court erred in refusing to permit the introduction of the testimony and documentary evidence by the defendant when no objection to the same was made by the opposing counsel.

At the time of trial, the appellants attempted to introduce into evidence certain of the concrete order slips written by the concrete supplier and provided to the construction site wherein appellees were working for the defendant. Appellees’ counsel indicated on the record that he had no objection.

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Bluebook (online)
493 A.2d 106, 342 Pa. Super. 446, 1985 Pa. Super. LEXIS 8078, Counsel Stack Legal Research, https://law.counselstack.com/opinion/malesh-v-chechak-pasuperct-1985.