Strausser Enterprises v. Segal and Morel, Inc.

CourtSuperior Court of Pennsylvania
DecidedFebruary 12, 2018
Docket1556 EDA 2017
StatusUnpublished

This text of Strausser Enterprises v. Segal and Morel, Inc. (Strausser Enterprises v. Segal and Morel, Inc.) 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
Strausser Enterprises v. Segal and Morel, Inc., (Pa. Ct. App. 2018).

Opinion

J-A29017-17

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT I.O.P. 65.37

STRAUSSER ENTERPRISES, INC., IN THE SUPERIOR COURT OF PENNSYLVANIA Appellant

v.

SEGAL AND MOREL, INC., SEGAL AND MOREL AT FORKS TOWNSHIP II INC., AND SEGAL AND MOREL AT FORKS TOWNSHIP III LLC,

Appellees No. 1556 EDA 2017

Appeal from the Order Entered April 19, 2017 in the Court of Common Pleas of Northampton County Civil Division at No.: C-48-CV-2010-04518

BEFORE: LAZARUS, J., PLATT, J.,* and STRASSBURGER, J.*

MEMORANDUM BY PLATT, J.: FILED FEBRUARY 12, 2018

Appellant, Strausser Enterprises, Inc., appeals from the trial court’s

order denying its motion seeking to increase the amount of interest due to it,

following the entry of judgment in its favor, against Appellees, Segal and

Morel, Inc., et al. We affirm.

A prior panel of this Court set forth the tortuous background of this case

as follows:

. . . The parties to this action . . . were at one time engaged in a number of agreements relative to the development of real ____________________________________________

* Retired Senior Judge assigned to the Superior Court. J-A29017-17

estate in Northampton County.[1] The parties agree that the contract which governs their relationship requires them to submit their disputes to common law arbitration.

On May 6, 2010, [Appellant] filed a “Petition to Compel the Appointment of an Arbitrator to Serve as if Appointed by [Appellees].” On May 28, 2010, the trial court ordered Thomas Wallitsch to serve as an arbitrator as if [Appellees] appointed him. [Appellees] sought reconsideration of the May 28, 2010 order. On November 9, 2010, the trial court issued an order in response to [Appellees’] petition for reconsideration, directing [Appellees] to name an arbitrator to hear [Appellant’s] breach of contract claims.

Thereafter, [Appellant] filed an arbitration complaint. [Appellant] included in this complaint a request for counsel fees that [it] incurred in litigating its petition to compel arbitration. [Appellees] refer[] to the arbitration panel that considered this complaint as “the Redding Panel.” It also is important to note that, prior to the arbitration proceedings in front of the Redding Panel, the parties litigated several issues in front of a different ____________________________________________

1 . . . [Appellant] is an owner and developer of certain real estate located in Forks Township, Pennsylvania known a[s] The Riverview Estates and The Riverview Country Club (“Riverview”). [Appellee] Segal and Morel, Inc. [] is a builder and developer. . . .

Riverview has been subdivided into a number of different parcels to be developed, in phases, into various types of residential homes such as single family dwelling, townhouses and condominiums, as well as a golf course and country club. [Appellant] entered into a series of agreements with [Appellees] to sell off some phases of the project, while retaining certain other phases. . . .

Under the Agreements of [S]ale, [Appellant] was to perform all of the site work (meaning all of the work that is on or under the ground including sanitary sewer, storm sewer, water lines, utilities, curbs and topsoil). [Appellees were] to do all of the above-ground, or “vertical” construction.

The claims before the arbitration panel arose from the parties’ agreements of sale.

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arbitration panel. [Appellees] refer[] to this initial panel of arbitrators as “the Walters Panel.”

The Redding Panel conducted hearings in late February and early March of 2012. In a document dated September 26, 2012, two of the three arbitrators ruled in favor of [Appellant] (Majority Decision).[2] In addition to awarding [Appellant] monetary damages, the Majority Decision stated, inter alia, that it included “[a]n order [sic] for a subsequent hearing to determine the ____________________________________________

2 Specifically, the Redding Panel ordered:

1. An award to [Appellant] in the amount of $9,515,341.00, plus interest, against all of the [Appellees] jointly and severally on the Phase II damage claim relating to the Buyback;

2. An award to [Appellant] in the amount of $9,909,974.00, plus interest, against all of the [Appellees] jointly and severally on the Phase III damage claim relating to the Buyback;

3. An award to [Appellant] in the amount of $79,145.00, plus interest, against all of the [Appellees] jointly and severally on the Soil and Erosion claim;

4. An award to [Appellant] in the amount of $150,000.00, plus interest, against all of the [Appellees] jointly and severally on the Supervision claim;

5. An award to [Appellant] in the amount of $45,261.00, plus interest, on the Bike Path claim;

6. An order for a subsequent hearing to determine the amount of [Appellant’s] counsel fee award.

7. An award to [Appellant] against all of the [Appellees] compelling them to convey all lots still in their possession in Phase II to [Appellant] for $50,000.00/lot; and

8. An award to [Appellant] against all of the [Appellees] compelling them to convey all lots still in their possession in Phase III to [Appellant] for $74,000.00/lot.

(Redding Panel Decision, 9/26/12, at unnumbered pages 1-2) (footnote omitted).

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amount of [Appellant’s] counsel fee award[.]” The Majority Decision also noted, “In the event that the panel determines that it needs [Appellees’] profit/lot to determine damages, the parties have agreed to present that evidence at a later phase of this proceeding. . . .”

The Majority Decision was accompanied by an opinion in support thereof (Majority Opinion). Regarding [Appellant’s] claim for counsel fees, the Majority Opinion stated that [Appellant] prevailed with respect to its petition to compel and the litigation in front of the Redding Panel. The Majority Opinion, therefore, concluded that, pursuant to the parties’ agreement, [Appellant] is entitled to reimbursement of its counsel fees. The Majority Opinion asserted, “We will hold a subsequent hearing to determine the amount of the counsel fee award.”

The lone dissenting arbitrator, Joel M. S[c]heer, did not sign the Majority Decision. Instead, he authored a dissenting opinion dated October 10, 2012 (Dissenting Opinion).

On October 26, 2012, [Appellees] filed a “Motion to Stay and Setting of Date for Filing of Petition to Vacate Arbitration Award.” In this motion, [Appellees] acknowledged that they had thirty days from the date the arbitrators’ award became final in order to file a petition to vacate the award and, thus, challenge the award. [Appellees] averred that they received copies of the Majority Decision, the Majority Opinion, and the Dissenting Opinion on October 24, 2012. [Appellees] argued that the earliest deadline to file a petition to vacate was November 9, 2012, which was thirty days from the date Mr. S[c]heer signed the Dissenting Opinion.

On November 5, 2012, [Appellant] filed a petition to confirm the arbitration award. The following day, the trial court denied [Appellees’] “Motion to Stay and Setting of Date for Filing of Petition to Vacate Arbitration Award.” [ ] [Appellees] [then] filed a “Petition to Vacate Majority [Decision] and Opinion, and to Preclude Entry of Judgment Pending Resolution of Petition.” . . .

[Appellees also] filed a response to [Appellant’s] petition to confirm the arbitration award. Therein, [Appellees] averred, inter alia, that the trial court could not confirm the Majority Decision because it does not constitute a final award for purposes of common law arbitration. In this regard, [Appellees] highlighted that the Majority Decision did not dispose of [Appellant’s] claim for counsel fees and that the Majority Decision noted that the

-4- J-A29017-17

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Bluebook (online)
Strausser Enterprises v. Segal and Morel, Inc., Counsel Stack Legal Research, https://law.counselstack.com/opinion/strausser-enterprises-v-segal-and-morel-inc-pasuperct-2018.