Piedmont Natural Gas Company, Inc. v. BlueRoad Fontanel, LLC

CourtCourt of Appeals of Tennessee
DecidedApril 1, 2026
DocketM2024-01860-COA-R3-CV
StatusPublished
AuthorJudge Andy D. Bennett

This text of Piedmont Natural Gas Company, Inc. v. BlueRoad Fontanel, LLC (Piedmont Natural Gas Company, Inc. v. BlueRoad Fontanel, LLC) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Piedmont Natural Gas Company, Inc. v. BlueRoad Fontanel, LLC, (Tenn. Ct. App. 2026).

Opinion

04/01/2026 IN THE COURT OF APPEALS OF TENNESSEE AT NASHVILLE November 5, 2025 Session

PIEDMONT NATURAL GAS COMPANY, INC. V. BLUEROAD FONTANEL, LLC

Appeal from the Circuit Court for Davidson County No. 19C1900 Thomas W. Brothers, Judge

No. M2024-01860-COA-R3-CV

A gas company obtained an easement by eminent domain across a property owner’s land. A jury determined the amount of just compensation payable to the landowner. On appeal, the gas company argues that the trial court erred in allowing the jury to hear expert testimony from the landowner’s expert regarding the value of the property and that the jury verdict is not supported by material evidence. Finding no abuse of discretion, we affirm the trial court’s judgment.

Tenn. R. App. P. 3 Appeal as of Right; Judgment of the Circuit Court Affirmed

ANDY D. BENNETT, J., delivered the opinion of the Court, in which JEFFREY USMAN and, VALERIE L. SMITH, JJ., joined.

Donald N. Capparella and Jacob Andrew Vanzin, Nashville, Tennessee, for the appellant, Piedmont Natural Gas Company, Inc.

Thomas V. White, Emily A. Guthrie, Andrée Blumstein, C. Dewey Branstetter, Jr., and William L. Harbison, Nashville, Tennessee, for the appellee, BlueRoad Fontanel, LLC.

OPINION

FACTUAL AND PROCEDURAL BACKGROUND

This is a condemnation case concerning a large piece of property consisting of six parcels along Whites Creek in Nashville. A total of eleven structures were located on the property, including a 27,000-square-foot mansion formerly owned by country music star Barbara Mandrell, an inn, an event hall, a restaurant, a retail building, and a distillery. The property had most recently been used as a hospitality and event venue. BlueRoad Fontanel, LLC (“BlueRoad”) purchased the property in February 2019 for $14,500,000, with the intention of continuing and expanding the hospitality and event uses of the property. In August 2019, Piedmont Natural Gas Company (“Piedmont”) filed a petition for condemnation seeking an easement to install a subsurface natural gas pipeline on the property. BlueRoad did not contest Piedmont’s authority to take the easement but did contest the amount of just compensation proposed by Piedmont, $48,700, which was deposited with the circuit court clerk. The trial court entered an order confirming the taking in October 2019.

The property and the easement

The following parcel map shows the layout of the six parcels making up the property at issue.

Parcels 1, 2, 5, and 6 are bounded to the east by Whites Creek Pike. Whites Creek, the creek itself, runs along the western border of parcels 1, 2, and a small part of 5, and along the eastern border of parcels 3 and 4. The mansion is located on parcel 3.

-2- The following acquisition map shows the location of the Piedmont easement:

The easement generally cuts across the tip of parcel 1, runs along the creek, and then cuts across portions of parcels 3 and 4.

Motion in limine

In June 2024, Piedmont filed a motion to exclude the expert testimony of Patrick Gibson, BlueRoad’s expert, pursuant Tenn. R. Evid. 104(a), 702, 703, and 403, arguing that the testimony was “irrelevant, unreliable, and . . . unfairly prejudicial” because his

-3- appraisal of the property concerned only the value of the property before the taking. After a hearing, the trial court entered an order on August 23, 2024, denying Piedmont’s motion to exclude Mr. Gibson’s testimony. The court concluded that Piedmont’s objections went to the weight, not the admissibility, of Mr. Gibson’s testimony and found no authority requiring an expert witness to provide both before and after values.

Jury trial

The issue of just compensation was tried before a jury over four days in August 2024. We will summarize the evidence presented at trial as relevant to the issues on appeal.1

Tim Farrell, owner of BlueRoad, testified that he had over 25 years of experience in real estate investment and development. He explained his interest in the Fontanel property and the research he conducted in the years prior to deciding to purchase the property. Mr. Farrell met with John Haas, the landscape architect and land planner who had worked with the prior owners, and “studied the entitlements[2] from the zoning ordinance to understand how we could use the property.” Mr. Farrell testified about the preliminary specific plan (“SP”)3 in effect at the time he was considering purchasing the property. He stated that, “In the entitlement document, the specific plan, [the property] was called a rural resort,” which would allow it to have lodging, restaurants, bars, gardens, recreation areas, and events. In Mr. Farrell’s opinion, the events “were the primary driver of the business model” because “that’s where the property could make its money.”

Mr. Farrell pointed out a road or long driveway that came off of Whites Creek Pike and cut through the middle of the property. He stated that this road, which crossed over the gas pipeline, provided “the access point for the bulk of the property.” On the other side of the pipeline were the amphitheater/stage, event fields, hiking trails, zip lines, and the

1 Several witnesses testified about the zoning process. While this testimony was important for the jury to fully understand the events in this case, we will not address it here. In addition, we will not address the testimony of all the various Piedmont representatives unless it is relevant. 2 The “entitlements” are the permissible uses for the property under the SP zoning classification. See entitlement, BLACK’S LAW DICTIONARY (12th ed. 2024) (“A right to do, receive, or possess something either by law or by contractual arrangement.”). 3 The Metro Nashville zoning ordinance allows for specific plan districts (SPs) “to promote site specific development in the location, integration, and arrangement of land uses, buildings, structures, utilities, access, transit, parking, and streets.” Metro Code § 17.08.020(C). Such a plan “establish[es] specific limitations and requirements . . . so as to respect the unique character and/or charm of abutting neighborhoods and larger community.” Id. The property at issue was established as the Mansion at Fontanel Specific Plan District with zoning ordinances beginning in 2009 and further entitlements added in 2014 and 2016.

-4- mansion. According to Mr. Farrell, 100 to 150 people might drive over the pipeline in a day; during a large event, this number would be significantly higher.

Mr. Farrell entered into a contract to buy the property in April 2018 and closed on the property in February 2019. He considered the purchase price of $14,500,000 to be “a great price,” partly because it was an “off-market opportunity,” so he was not competing against a number of other buyers. In Mr. Farrell’s opinion, BlueRoad had the expertise and the money to “bring this property to the next level, to actually bring all the entitlements to fruition that had not yet been done.” Further, Mr. Farrell testified, BlueRoad gave the seller “the opportunity to invest in our projects going forward as part of the negotiation of the purchase price so they could make more money on the back end, if we agreed to a lower price upfront.” Mr. Farrell testified that, after contracting to buy the property and before Piedmont condemned the property in October 2019, BlueRoad spent an additional $8 million (above the purchase price) on the property. This amount included taxes, insurance, interest, consultants, technology, architects, and engineers.

Mr. Farrell then gave his opinion concerning the value of the property before the taking by Piedmont in October 2019:

I believed at the time of the take, it was worth approximately $26 million dollars. And for a number of reasons.

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Piedmont Natural Gas Company, Inc. v. BlueRoad Fontanel, LLC, Counsel Stack Legal Research, https://law.counselstack.com/opinion/piedmont-natural-gas-company-inc-v-blueroad-fontanel-llc-tennctapp-2026.