Smith v. Hemphill

39 Pa. D. & C.5th 269
CourtPennsylvania Court of Common Pleas, Chester County
DecidedJune 27, 2014
DocketNo. 2012-04425
StatusPublished

This text of 39 Pa. D. & C.5th 269 (Smith v. Hemphill) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Chester County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Smith v. Hemphill, 39 Pa. D. & C.5th 269 (Pa. Super. Ct. 2014).

Opinion

TUNNELL, J.,

FINDINGS OF FACT

1. William Smith, Sr. is a principal of the plaintiff, Evergreen Management Group, Inc. (hereinafter referred to as “Evergreen”), a corporation organized and existing under the laws of the Commonwealth of Pennsylvania.

2. Brian Hemphill is a principal of defendant, Commercial Snow + Ice, LLC (hereinafter referred to as “Commercial”), a limited liability company organized and existing under the laws of the Commonwealth of Pennsylvania.

3. By email dated November 22, 2010, Commercial extended an offer to Evergreen to do snow and ice removal, shoveling and salting, as its sub-contractor at [271]*271various locations and for specified sums depending on snowfall amounts.

4. Evergreen indicated general interest.

5. On the following day, November 23, 2010, Commercial sent Evergreen an attachment of four or five pages containing additional terms and conditions and requested a signature.

6. Commercial was contracted to a third party, Brickman Facilities Solutions, Inc. (hereinafter referred to as “Brickman”), to provide snow and ice removal at two Acme Supermarket locations in south Philadelphia. Brickman’s contract, denominated a service partner subcontractor agreement, contained, among other things, the same scope of services which in fact Commercial copied and redacted in some fashion and sent to Evergreen.

7. Commercial did not sign the Brickman contract until February 2011. The Brickman contract contained a “no assignment” clause which prohibited Commercial from subcontracting with others.

8. Evergreen was not aware that it was in fact a sub-sub-contractor, was not aware of any relationship between Commercial and Brickman, and was obviously unaware of any prohibition that would have precluded its being hired.

9. There were further emails between Smith and Hemphill, the principals of these two parties, the plaintiff indicating it wished to meet to go over Acme’s requirements, and the defendant requesting a signature on the scope of services agreement.

10. Neither happened.

11. Plaintiff proceeded to enter into performance during [272]*272the balance of December 2010 through late February 2011.

12. Plaintiff generated 47 invoices for its services, of which 20 were paid and 27 remained outstanding.

13. Plaintiff took care to receive a service ticket with a signature or stamp every time it plowed or performed other services at an Acme location, indicating Acme’s satisfaction with the work.

14. At no time did Evergreen proceed to perform any services without first being dispatched by defendant.

15. At some point a third location, Stella Maris Church, was added as a customer.

16. Defendant Commercial asserted three reasons for non-payment: overcharging, double billing and shoddy workmanship.

17. At no time did defendant contemporaneously notify plaintiff of any complaint regarding the work performed.

18. Two personal injury claims arose at locations serviced by the plaintiff.

19. No evidence was introduced to show a causal connection as to plaintiff’s services.

20. Smith called Brickman complaining of being unpaid by Commercial, but made no derogatory remarks concerning Commercial.

21. Although Commercial was terminated by Brickman, this had to do with Commercial’s violation of the “no assignment” clause in hiring Evergreen, and nothing to do with any lack of quality in the snow plowing at the Acme locations or any disparaging remarks.

[273]*27322. Commercial made claim for its expenses in cleaning up after Evergreen on several dates, and for administrative time expended because of Evergreen’s poor performance.

23. No documentation or testimony was afforded to support these claims.

DISCUSSION

Evergreen was hired in the early winter of 2010 as a sub-sub-contractor to remove snow and ice by Commercial which, in turn, was a sub-contractor for those purposes to a third party, Brickman. The court has determined that this is purely a dispute between two disclosed commercial entities about the performance of certain plowing and salting services. The plaintiff conceded in closing argument that William Smith, Sr. was not properly a party plaintiff, and the court agrees. He is removed as such. Although there are counterclaims by the defendants, the court has determined that they are not meritorious. Likewise, although the principal of Commercial, Brian Hemphill, was named as an individual party defendant, he has no liability as such to the plaintiff and he should not have been so named. He is dismissed from this action.

This dispute involves the plaintiff’s services at three locations in south Philadelphia, two of them being at Acme Markets, referred to at trial as “Johnston” and “Passyunk” by virtue of their locations. The third location was Stella Maris, a church. After Commercial failed to pay 20 of 47 invoices sent to it by Evergreen for services rendered at the foregoing properties on various dates, suit was instituted. The complaint alleged two counts, breach of contract and quantum meruit for the value of the services provided. Although the plaintiff has referred to its contract with defendant as implied, the court regards the contract [274]*274between them as express.

The distinction between express and implied contracts rests on alternative methods of contract formation. Contracts are “express” when the parties state their terms and “implied” when the parties do not state them. The distinction is based not on the contracts’ legal effect, but on the way the parties manifest their mutual assent. In Re: Penn Cent. Transp. Co., 831 F.2d 1221, 1228 (3d. Cir. 1987). In other words, the terms “express” and “implied” do not denote different kinds of contracts, but rather reference the evidence by which the parties demonstrate their agreement. Baer v. Chase, 392 F. 3d. 609, 616 (3d. Cir. 2004). The plaintiff’s suggestion that its agreement is “implied” rather than “express” advances a distinction without a difference as to the mode of contract formation and is immaterial to the disposition of its breach of contract claim. This is because different legal consequences do not flow from analyzing the alleged contract as implied-in-fact rather than express. Id. Because the court has determined that there is an express contract, there cannot, however, be an implied contract covering the same subject matter. In Re: Penn Cent. Transp. Co., 831 F. 2d. at 1229-30. Express contract and implied-in-fact contract theories are mutually exclusive. Baer, at 617. Consequently, there can be no recovery under a quantum meruit theory when the parties’ relationship is based upon an express contract for services. Hershey Foods Corp. v. Ralph Chapek, Inc., 828 F. 2d. 989 (999 3d. Cir. 1987).

The crucial terms in this case were in writing. Defendant’s email to the plaintiff on Monday, November 22,2010 (Defs. ’ ex. 3) is an offer that contains the property locations and the proposed compensation for each. For example, if the snowfall was “0 to 3 inches” at Johnston

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39 Pa. D. & C.5th 269, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-hemphill-pactcomplcheste-2014.