McDonald, J. v. CNX Gas Company

CourtSuperior Court of Pennsylvania
DecidedSeptember 10, 2020
Docket83 WDA 2020
StatusUnpublished

This text of McDonald, J. v. CNX Gas Company (McDonald, J. v. CNX Gas Company) 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
McDonald, J. v. CNX Gas Company, (Pa. Ct. App. 2020).

Opinion

J-A14043-20

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT I.O.P. 65.37

JOHN MCDONALD, SR. AND JAMES J. : IN THE SUPERIOR COURT OF PURMAN, IV : PENNSYLVANIA : Appellants : : : v. : : : CNX GAS COMPANY, LLC., AND : BARRY L. MCCONNELL AND JEFFREY : W. MCCONNELL : No. 83 WDA 2020

Appeal from the Order Entered December 18, 2019 in the Court of Common Pleas of Greene County Civil Division at No(s): A.D. 769,2015

BEFORE: SHOGAN, J., McLAUGHLIN, J., and MUSMANNO, J.

MEMORANDUM BY MUSMANNO, J.: FILED SEPTEMBER 10, 2020

John McDonald, Sr. (“McDonald”), and James J. Purman, IV (“Purman”)

(collectively, “Plaintiffs”), appeal from the Order entering summary judgment

against them and in favor of CNX Gas Company, LLC (“CNX”), Barry L.

McConnell (“McConnell”), and Jeffrey W. McConnell (“J. McConnell”)

(McConnell and J. McConnell collectively referred to as “the McConnells”) (all

defendants hereinafter referred to as “the CNX Defendants”). We affirm.

The trial court summarized the relevant history underlying the instant

appeal as follows:

McDonald is the owner of an undivided [ninety percent] (90%) interest in 115+ acres located in Morris Township, Greene County, Pennsylvania [(“the McDonald Land”)]. [] Purman owns a[n] undivided [ten percent] (10%) interest in 131+ acres located in Morris Township, Greene County, Pennsylvania [(“the Purman Land”)]. The Purman Land includes the McDonald Land. J-A14043-20

[Plaintiffs’] Complaint sets forth claims for Declaratory Relief, an Accounting, Trespass and Ejectment.

On December 14, 1977, Melvin M. McConnell and Hester L. McConnell [(collectively, “the Lessors”)] entered into an Oil and Gas Lease [(“the 1977 Lease” or “the Lease”)] with Consolidation Coal Company [(“CCC”)]. Defendants [] McConnell and [J. McConnell] are the heirs of the Lessors. [] CNX [] acquired the [CCC’s] interest in the Lease.

The primary term of the Lease is twenty-five years and can be extended by either (1) production or (2) drilling operations. Moreover, at the end of the primary term, the lessee[, CCC,] can elect to extend the Lease by an additional twenty-five years by paying the Lessors a renewal charge of $50.00 per acre. The Lease also grants specific rights to use the surface and allow[s] for unitiz[]ation with other properties.

On February 17, 1993, [the Lessors] conveyed a 131+ acre tract to James F. Kern [(“Kern”)] and Nancy Kern [(collectively, “the Kerns”)]. The conveyance was subject to the 1977 Lease[,] and the [Lessors] excepted and reserved from the conveyance all the oil and gas rentals and royalties associated with the Lease.

On November 15, 2002, [CCC] exercised the option to extend the 1977 Lease. [The McConnells, as heirs of the Lessors,] were issued checks in accordance with this option.

On June 18, 2003, [the Kerns] conveyed the property to [McDonald] and John H. McDonald, Jr. [(“McDonald, Jr.”) (collectively, “the McDonalds”)].

The conveyance was subject to the 1977 Lease and excepted and reserved all the oil and gas rentals and royalties from the 1977 Lease to the heirs of [the Lessors].

On March 26, 2005, [McDonald] and [] McDonald, Jr.[,] conveyed 131+ acres to [McDonald].

The conveyance was subject to the 1977 Lease and excepted and reserved all [of] the oil and gas rentals and royalties from the 1977 Lease to the heirs of [the Lessors].

-2- J-A14043-20

On September 30, 2015, Plaintiffs filed the Complaint. [Plaintiffs contested the CNX Defendants[’] oil and gas rights under the 1977 Lease.] In response to the Complaint, [the CNX Defendants] have Counter-Claimed seeking Declaratory Relief in favor of their rights….

Trial Court Opinion, 3/15/18, at 1-3 (unnumbered).

At the close of discovery, the CNX Defendants filed a Motion for partial

summary judgment. On March 15, 2018, the trial court granted the Motion.

Plaintiffs filed an interlocutory appeal, which this Court quashed on December

10, 2018. See McDonald v. CNX Gas Co., 203 A.3d 304 (Pa. Super. 2018)

(unpublished memorandum).

CNX subsequently filed a Supplemental Motion for summary judgment.

Plaintiffs also filed their own Motion for summary judgment. On December

18, 2019, the trial court entered an Order denying Plaintiffs’ Motion for

summary judgment, and granting the CNX Defendants’ Supplemental Motion

for summary judgment. Thereafter, Plaintiffs filed the instant timely appeal,

followed by a court-ordered Pa.R.A.P. 1925(b) Concise Statement of matters

complained of on appeal.

Plaintiffs present eight claims in their Statement of Questions involved,

but set forth five differently-worded claims in the argument section of their

brief:

1. “[Whether] the 1977 Lease Extension was not valid because

A. The Lease Extension charge was paid to the wrong party; and

-3- J-A14043-20

B. CCC failed to record the Lease extension in the Recorder’s Office.” See Brief for Appellants at 14, 20.

2. “[Whether] McDonald is a bona fide purchaser.” See id. at 32.

3. “[Whether] McDonald’s trespass claims were improperly dismissed.” See id. at 36.

4. “[Whether] McDonald’s ejectment claims were improperly dismissed.” See id. at 38.

5. “[Whether] McDonald’s accounting claim was improperly dismissed.” See id. at 39.

We will address Plaintiffs’ claims in the order set forth above.

Initially, we are cognizant of our scope and standard of review:

Our scope of review of an order granting summary judgment is plenary. [W]e apply the same standard as the trial court, reviewing all the evidence of record to determine whether there exists a genuine issue of material fact. We view the record in the light most favorable to the non-moving party, and all doubts as to the existence of a genuine issue of material fact must be resolved against the moving party. Only where there is no genuine issue as to any material fact and it is clear that the moving party is entitled to a judgment as a matter of law will summary judgment be entered.

Motions for summary judgment necessarily and directly implicate the plaintiff’s proof of the elements of his cause of action. ... Thus, a record that supports summary judgment will either (1) show the material facts are undisputed or (2) contain insufficient evidence of facts to make out a prima facie cause of action or defense and, therefore, there is no issue to be submitted to the [fact-finder]. Upon appellate review, we are not bound by the trial court’s conclusions of law, but may reach our own conclusions. The appellate Court may disturb the trial court’s order only upon an error of law or an abuse of discretion.

DeArmitt v. New York Life Ins. Co., 73 A.3d 578, 585-86 (Pa. Super. 2013)

(citations and quotation marks omitted).

-4- J-A14043-20

Our standard of review for a declaration of rights is also well settled.

Under the Declaratory Judgments Act,[1] the trial court is empowered to declare the rights and obligations of the parties involved. Our standard of review in a declaratory judgment action is limited to determining whether the trial court clearly abused its discretion or committed an error of law. We may not substitute our judgment for that of the trial court if the court’s determination is supported by the evidence.

Robson v. EMC Ins. Cos., 785 A.2d 507, 509 (Pa. Super. 2001) (footnote

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McDonald, J. v. CNX Gas Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mcdonald-j-v-cnx-gas-company-pasuperct-2020.