Valier Coal Yard v. Homer City Generation

Superior Court of Pennsylvania·Decided July 29, 2026·No. 770 WDA 2025·Unpublished·Bender

Opinion

J-A13042-26

NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT O.P. 65.37

VALIER COAL YARD : IN THE SUPERIOR COURT OF : PENNSYLVANIA Appellant : : : v. : : : HOMER CITY GENERATION, L.P.; GE : No. 770 WDA 2025 ENERGY FINANCIAL SERVICES, INC., : JOHN DOE CORPORATIONS 1-5; AND : JOHN DOE ENTITIES 1-5 :

Appeal from the Judgment Entered June 4, 2025 In the Court of Common Pleas of Indiana County Civil Division at Nos: 12040 CD 2017, 309-2017 CD

BEFORE: BOWES, J., OLSON, J., and BENDER, P.J.E.

MEMORANDUM BY BENDER, P.J.E.: FILED: July 29, 2026

Valier Coal Yard (Appellant) appeals from the judgment entered in favor

of all defendants following a jury trial, and the denial of Appellant’s post-trial

motion, namely, a motion for judgment notwithstanding the verdict (JNOV) or

a new trial, and granting a motion to mold the verdict filed by Appellee, Homer

City Generations, L.P. (Homer City). After careful review, we affirm on the

basis of the trial court’s opinions entered on April 16, 2018 (TCO 1) and May

14, 2025 (TCO 2).

The following pertinent facts are gleaned from the record. Appellant is

a sole proprietorship, owned by David Osikowicz, which had supplied coal to

a power generation plant located in Homer City, Indiana County, for decades.

In 2012, the power plant underwent bankruptcy and reorganization. Homer J-A13042-26

City was the limited partnership that emerged as the entity approved to hold

ownership and control of the power plant. GE Energy Financial Services, Inc.

(GE EFS) was the general partner to Homer City and possessed broad control

over management and operations of the power plant. Vimal Chauhan

(Chauhan) and John Pettengill (Pettengill) were top executives at GE EFS and

were the only authorized signatories for Homer City.

In 2015 and 2016, demand for electricity from the power plant

decreased and less coal was utilized. Homer City began to renegotiate

contracts with coal suppliers in an effort to reduce the price of coal, with the

expectation that the cost of the electricity being generated would also

decrease. Appellant and Homer City renegotiated several contracts with

alterations to the quantity of coal being purchased, modifications to the price-

per-ton to be paid for the coal, and the tender dates. In addition, Homer City

began to prepay its coal suppliers because of the suppliers’ concern about its

financial problems.

Appellant initiated this action by filing a complaint on April 7, 2017, in

Jefferson County, and both Homer City and GE EFS filed preliminary

objections. In response, Appellant filed an amended complaint, and both

Homer City and GE EFS filed preliminary objections and supporting briefs.

Appellant then filed a brief in opposition to the preliminary objections. On

October 30, 2017, the Court of Common Pleas of Jefferson County found that

Appellant violated contractually mandated venue provisions and transferred

the case to Indiana County.

-2- J-A13042-26

On April 16, 2018, the Court of Common Pleas of Indiana County

reviewed the outstanding preliminary objections and ruled that the

preliminary objections were sustained in part and overruled in part. Relevant

to this appeal, the trial court sustained the preliminary objections to

Appellant’s fraud/fraud in the inducement cause of action set forth as Count

II in Appellant’s amended complaint. Thereafter, Appellant filed a second

amended complaint presenting causes of action for tortious interference with

contract, breach of contract, and promissory estoppel.

The trial court summarized the subsequent procedural history as

follows:

On December 3, 2024, the jury was sworn in and the trial commenced. [Appellant] presented a breach of contract claim(s) against [Homer City], claiming that Homer City breached a contract(s), by failing to accept the quantities of coal that it was required to accept under the contract(s), and that [Appellant] incurred damages as a result of the breach of the contract(s).

[Appellant] also presented a claim of tortious interference with contract against [GE EFS], claiming the following: (1) GE EFS tortiously interfered with the contractual relationships between [Appellant] and Homer City; (2) [Pettengill] and [Chauhan] acted as officers of GE EFS when they met with [Appellant] to discuss contract amendments and refused to permit [Appellant] to deliver coal to the Homer City facility; (3) [Appellant] suffered actual damages as a result of GE EFS’ tortious interference with the contract; (4) [Appellant] suffered a monetary loss of the benefits of the contractual relation; and (5) [Appellant] suffered emotional distress and/or harm to its reptation as a result of GE EFS’ acts.

Finally, Homer City presented a breach of contract claim against [Appellant], claiming [Appellant] breached a contract(s) with Homer City by receiving prepayments for coal deliveries and then failing to deliver the quantity and/or quality of coal required under the contract(s), and that Homer City incurred damages as a result

-3- J-A13042-26

of the breach of the contract(s) and/or any amendment thereto, by [Appellant].

On December 11, 2024, after nearly seven days of presentation of testimony, evidence, and argument to the jury, the jury verdict was announced. The jury found that Homer City breached the contract(s) by failing to accept the quantities of coal that it was required to accept under the contract(s). The jury concluded that [Appellant] incurred damages in the amount of $43,000 as a result of Homer City’s breach. With regard to [Appellant’s] claim against GE EFS, the jury concluded that [Chauhan] and [Pettengill] were acting within the scope of their authority as officers of Homer City when they met with David Osikowicz to discuss the contract amendments in May 2015, and when they refused to permit [Appellant] to deliver coal to Homer City. Given this finding, [Appellant’s] tortious interference with contract claim failed. And with regard to Homer City’s breach of contract claim against [Appellant], the jury concluded that [Appellant] breached the contract(s), and/or any amendment thereto, by receiving prepayments for coal deliveries and then failing to deliver the quantity and/or quality of coal required under the contract(s). The jury found that Homer City incurred damages in the amount of $143,558 as a result of [Appellant’s] breach.

TCO 2, at 1-3 (footnote omitted).

Appellant filed a timely motion for post-trial relief on December 20,

2024. That same day, Homer City filed a motion to mold the jury verdict.

Appellant then filed an amended omnibus motion for post-trial relief, followed

by a second amended omnibus motion for post-trial relief on April 23, 2025.

On May 14, 2025, the trial court entered an order denying all of Appellant’s

post-trial motions. Also on May 14, 2025, the trial court entered an order

molding the jury verdict.1

____________________________________________

1 The trial court’s order molding the verdict provides:

(Footnote Continued Next Page)

-4- J-A13042-26

Judgment was entered on June 4, 2025, and this timely appeal followed.

Both Appellant and the trial court complied with Pa.R.A.P. 1925.

On appeal, Appellant raises the following issues:

1. Did the trial court commit reversible error by sustaining preliminary objections and dismissing [Appellant’s] fraud claim against [Homer City] and [GE EFS]?

2.

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