HomeMy WebLinkAbout96-5349 CivilJOSEPH J. CURRERI, JR.,
TRADING AS THE CURRERI
REAL ESTATE COMPANY,
Plaintiff
Vo
DAVID E. DYSON, JAMES P.
STEPHENS, JR., JOHN H.
RHODES, MICHAEL K.
LAU, JEFFREY D.BILLMAN
AND RHODES DEVELOPMENT
GROUP, INC., TRADING AS
CAPITOL VIEW ASSOCIATES
A PENNSYLVANIA GENERAL
PARTNERSHIP
AND
DAVID E. DYSON, JAMES P.
STEPHENS, JR., JOHN H.
RHODES, HARLIN J. WALL,
MICHAEL K. LAU
AND JEFFREY D. BILLMAN,
TRADING AS THE
CHERRINGTON GROUP,
A PENNSYLVANIA GENERAL
PARTNERSHIP
Defendants
· IN THE COURT OF COMMON PLEAS OF
· CUMBERLAND COUNTY, PENNSYLVANIA
· CIVIL ACTION - LAW
· NO. 96-5349 CIVIL TERM 1996
IN RE: DEFENDANTS' MOTION FOR PARTIAL SUMMARY JUDGMENT
BEFORE HESS and OLER, JJ.*
ORDER OF COURT
AND NOW, this~d~y of December, 1999, upon consideration of the motion for
partial summary judgment filed by Defendants Capitol View Associates and the
Cherrington Group, and for the reasons stated in the accompanying opinion, the motion is
denied.
* Guido, J., did not participate in the consideration or disposition of this case.
Timothy Anstine, Esq.
t00 Pine Street, Suite 510
Harrisburg, PA 17101
Attorney for Plaintiff
Keith O. Brenneman, Esq.
44 West Main Street
P.O. Box 318
Mechanicsburg, PA 17055
Attorney for Defendants
:rc
BY THE COURT,
J. ~os[e~ Oler, Jr~,~.
* Guido, J., did not participate in the consideration or disposition of this case.
JOSEPH J. CURRERI, JR.,
TRADING AS THE CURRERI
REAL ESTATE COMPANY,
Plaip_tiff
DAVID E. DYSON, JAMES P.
STEPHENS, JR., JOHN H.
RHODES, MICHAEL K.
LAU, JEFFREY D.BILLMAN
AND RHODES DEVELOPMENT
GROUP, INC., TRADING AS
CAPITOL VIEW ASSOCIATES
A PENNSYLVANIA GENERAL
PARTNERSHIP
AND
DAVID E. DYSON, JAMES P.
STEPHENS, JR., JOHN H.
RHODES, HARLIN J. WALL,
MICHAEL K. LAU
AND JEFFREY D. BILLMAN,
TRADING AS THE
CHERRINGTON GROUP,
A PENNSYLVANIA GENERAL
PARTNERSHIP
Defendants
· IN THE COURT OF COMMON PLEAS OF
· CUMBERLAND COUNTY, PENNSYLVANIA
· CIVIL ACTION - LAW
· NO. 96-5349 CIVIL TERM 1996
IN RE: DEFENDANTS' MOTION FOR PARTIAL SUMMARY JUDGMENT
BEFORE HOFFER, P.J., and OLER, j.1
OPINION and ORDER OF COURT
At issue in this civil case is a motion for partial summary judgment made by
Defendants Capitol View Associates and the Cherrington Group. Defendants bring this
motion for partial summary judgment with respect to Counts II, V, VIII, IX, and X of
Plaintiff's amended complaint. Counts II, V, and VIII are claims for unjust enrichment
with respect to Plaintiff's alleged services as a sales agent at real estate developments
Guido, J., did not participate in the consideration or disposition of this case.
known as Crown Pointe, Cherrington, and Timber Chase. Count IX is a claim for
intentional interference with contractual relations with respect to Plaintiff's relationship
with Vincent R. Corrao. Count X is a claim for intentional interference with prospective
contractual relations with respect to Plaintiff's relationship with Thomas Ceranic.
Oral argument was held on Plaintiff's motion on May 26, 1999. For the reasons
stated in this opinion, the motion for partial summary judgment will be denied.
STATEMENT OF FACTS
This case arises out of business relationships between Plaintiff and each of the
Defendant partnerships. Plaintiff commenced this action for breach of contract, unjust
enrichment, promissory estoppel, and interference with existing and prospective
contractual relations by filing a complaint on September 27, 1996. Defendants filed
preliminary objections on November 4, 1996. In response to these preliminary
objections, Plaintiff filed an amended complaint on November 20, 1996. Defendants
Capitol View and the Cherrington Group filed an answer with new matter on December
10, 1996. The facts can be summarized as follows.
Plaintiff and Defendant Capitol View Associates (hereinafter Capitol View)
entered into a written agreement on July 9, 1993, whereby Plaintiff was to sell
townhouses at a development known as Crown Pointe (hereinafter the Crown Pointe
agreement).2 Plaintiff alleges that, subsequent to this agreement, he and Defendant
Cherrington Group entered into an oral agreement whereby Plaintiff would serve as the
exclusive marketing representative for a second development known as Cherrington.3
2 Amended complaint, Exhibit A (copy of the Crown Pointe agreement).
3 Amended complaint, paragraphs 30-31.
In reliance upon this alleged agreement with the Cherrington Group, Plaintiff asserts that
he offered i'homas Ceranic a position as sales associate for the marketing of the
Cherrington development.4
Defendant Cherrington Group, however, denies ever entering into an agreement
with Plaintiff,~ but admits that it entered into an agreement with Rhodes Development
Group, Inc.. a constituent partner of Capitol View, for the marketing of the Cherrington
development.6 According to Defendants, the Rhodes Development Group thereafter
retained Mr. Ceranic as a sales associate for the marketing of the Cherrington
development.7
Plaintiff alleges that in September 1994 he offered Vincent R. Corrao a position
as sales associate? According to Plaintiff, Mr. Corrao accepted and commenced selling
units at the Crown Pointe development.9 Mr. Corrao testified that he was an associate
broker with PlaintiWs real estate company. ~0 Mr. Corrao also testified that he and
Plaintiff discussed the terms of compensation and that there was a written agreement in
the form of a letter that confirmed the terms of compensation.~ ~
4 Amended complaint, paragraph 41.
5 Answer with new matter of Defendants Capitol View Associates and the Cherrington Group to PlaintiWs
amended complaint and counterclaim of Capitol View Associates, paragraphs 30-31.
6 Id. at paragraph 47.
7 Id. at paragraph 48.
s Amended complaint, paragraph 56.
9 Id. at paragraph 59.
10 Deposition of Vincent R. Corrao, November 19, 1997, at 9 (hereinafter Corrao N.T. at __).
II Id. at 8-9.
Plaintiff asserts that Defendant Capitol View approached Mr. Corrao about
representing Capitol View's properties independent of Plaintiff,~2 and that in June 1995
Mr. Corrao informed Plaintiff that he was going to terminate his relationship with
Plaintiff in order to take such a position.~3 Mr. Corrao testified that in May or June of
1995 he indicated to Plaintiff that he was going to terminate his relationship with Plaintiff
and that he hoped to represent Capitol View properties independent of Plaintiff. 14 Mr.
Corrao further testified that he believed Plaintiff was going to be responsible for the
marketing of a third development known as Timber Chase, and that this would create an
opportunity for Mr. Corrao to be the broker at Crown Pointe.15
Plaintiff also alleges that he and Capitol View entered into another agreement
whereby Plaintiff was to serve as the marketing representative for the Timber Chase
development, 26 but that Capitol View would not execute a written agreement unless
Plaintiff agreed to relinquish his rights under the Crown Pointe agreement.~7
Capitol View, on the other hand, denies that any agreement was ever reached with
respect to the Timber Chase development.~8 Capitol View admits that on June 21, 1995,
12 Amended complaint, paragraph 60. See also Deposition of Joseph J. Curreri, April 3, 1998, at 293-294
(hereinafter Curreri N.T. 4/3/98 at ~).
~3 Amended complaint, paragraph 63.
~4 Corrao N.T. at 36.
~5 Id. at 36-37.
~6 Amended complaint, paragraph 72.
~7 Id. at paragraphs 77-78; see amended complaint, exhibit B (copy of proposed interim Crown Pointe
agreement).
la Answer with new matter of Defendants Capitol View Associates and the Cherrington Group to Plaintiff's
amended complaint and counterclaim of Capitol View Associates, paragraph 74.
4
Plaintiff declined to accept the arrangement that would have required Plaintiff to abandon
his rights under the Crown Pointe agreement. 19
On June 29, 1995, Plaintiff was advised that he was being terminated by Capitol
View as the exclusive marketing representative of the Crown Pointe development?
Plaintiff asserts that he performed all of his obligations under the Crown Pointe
development contract.21 Defendants deny this assertion.22
With respect to the marketing of the Crown Pointe development, Plaintiff is suing
Capitol View for breach of contract and unjust enrichment.23 With respect to the
marketing of the Cherrington development, Plaintiff is suing the Cherrington Group for
breach of contract, promissory estoppel, and unjust enrichment.24 With respect to the
marketing of the Timber Chase development, Plaintiff is suing Capitol View for breach
of contract, promissory estoppel, and unjust enrichment? Plaintiff also asserts a claim
against Capitol View for intentional interference with contractual relations in regard to
Plaintiff's business relationship with Vincent R. Corrao.26 Additionally, Plaintiff is suing
the Cherrington Group for intentional interference with prospective contractual relations
~9 Id. at paragraph 81.
20 Id. at paragraph 82.
2~ Amended complaint, paragraph 87.
22 Answer with new matter of Defendants Capitol View Associates and the Cherrington Group to Plaintiff's
amended complaint and counterclaim of Capitol View Associates, paragraph 87.
23 Amended complaint, paragraphs 89-96 (Counts I and II of the amended complaint).
24 Id. at paragraphs 97-113 (Counts III, IV, and V of the amended complaint).
25 Id. at paragraphs 114-128 (Counts VI, VII, and VIII of the amended complaint).
26 Id. at paragraphs 129-136 (Count IX of the amended complaint).
in regard to Plaintiff's business relationship with Thomas Ceranic.27 Capitol View has
filed a counterclaim against Plaintiff for breach of the Crown Pointe agreement?
DISCUSSION
Pennsylvania Rule of Civil Procedure 1035.2 provides as follows:
After the relevant pleadings are closed, but within such time as
not to unreasonably delay trial, any party may move for summary
judgment in whole or in part as a matter of law
(1) whenever there is no genuine issue of any material fact as to a
necessary element of the cause of action or defense which could be
established by additional discovery or expert report, or
(2) if, after the completion of discovery relevant to the motion,
including the production of expert reports, an adverse party who
will bear the burden of proof at trial has failed to produce evidence
of facts essential to the cause of action or defense which in a jury
trial would require the issues to be submitted to a jury.
"[T]he mission of the summary judgment procedure is to pierce the pleadings and to
assess the proof in order to see whether there is a genuine need for a trial." Ertel v.
Patriot-News Co., 544 Pa. 93,100, 674 A.2d 1038, 1042 (1996).
"Oral testimony alone, either through testimonial affidavits or depositions, of the
moving party or the moving party's witnesses, even if uncontradicted, is generally
insufficient to establish the absence of a genuine issue of material fact." Note, Pa. R.C.P.
1035.2; see Pa. R.C.P. 1035.3(b).
Additionally, the record must be examined 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. Ertel v. Patriot-News Company, 544 Pa. 93, 93-94,
27 Id at paragraphs 137-146 (Count X of the amended complaint).
6
674 A.2d 1038, 1041 (1996). Furthermore, on a motion for summary judgment, a court
"should not attempt to resolve conflicting contentions of fact or conflicting inferences,
which may be drawn from such facts .... Summary judgment is an 'eyes-only' procedure,
which does not allow for a factual hearing." 6 Standard Pennsylvania Practice 2d,
32:113, at 257 (1994) (emphasis added).
The Pennsylvania Supreme Court has held that "a non-moving party must adduce
sufficient evidence on an issue essential to his case and on which he bears the burden of
proof such that a jury could return a verdict in his favor." Ertel v. Patriot-News
Company, 544 Pa. 93, 101-102, 674 A.2d 1038, 1042 (1996). Failure to adduce this
evidence establishes that there is no genuine issue of material fact and the moving party
is entitled to judgment as a matter of law. Id. at 102, 674 A.2d at1042.
I. Count IX: Intentional Interference with Contractual Relations by Capitol
View Associates as to Plaintiff's Relationship with Mr. Corrao
Plaintiff has alleged that Defendants interfered with his contractual relationship
with Vincent R. Corrao in an effort to hire Mr. Corrao to represent Defendants' properties
independent of Plaintiff.
The Restatement (Second) of Torts provides that:
[o]ne who intentionally and improperly interferes with the
performance of a contract ... between another and a third person
by inducing or otherwise causing the third person not to perform
the contract, is subject to liability to the other for the pecuniary
loss resulting to the other from the failure of the third person to
perform the contract.
Restatement (Second) of Torts, {}766 (1979).
28 Answer with new matter of Defendants Capitol View Associates and the Cherrington Group to Plaintiff's
amended complaint and counterclaim of Capitol View Associates, paragraphs 170-175.
There are four elements to intentional interference with contractual ,'elati,ms: (1)
an existing contractual relationship between plaintiff and a third party; (2) det'c~:dant
interfered with the performance of that contract by inducing a b.,',tach or otherwise
causing the third party not to perform; (3) defendant was not privileged to act in this
manner; and (4) plaintiff suffered a pecuniary loss as a result of the breach of contract.
Hamilton Contracting Company v. Cowder, 434 Pa. Super. 491,497, 644 A.2d 188, 191
(1994).
Defendants assert that Plaintiff has not met his burden with respect to the
requirements of an existing contractual relationship and pecuniary losses for his claim
against Defendant Capitol View for intentional interference with contractual relations.
A. Existing Contractual Relationship
As to the existence of a contractual relationship, Defendants argue that the
relationship between Plaintiff and Mr. Corrao was in the nature of an at-will employment
relationship and that Capitol View's hiring of Mr. Corrao is not actionable? Defendants
submit that because Mr. Corrao's engagement as a sales agent was for an indefinite
period of time, it created an at-will employment relationship.3° Defendants argue that
based upon this relationship, either Plaintiff or Mr. Corrao had the right to end their
relationship at any time and that the offering of employment to a person under contract
terminable at-will is not actionable in and of itself.31 Furthermore, Defendants submit
that Plaintiff terminated his business relationship with Mr. Corrao well before Mr. Corrao
29 Defendants' Brief in Support of Motion for Partial Summary Judgment, at 13.
30 Id.
3~ Id. at 14.
performed any services for Capitol View and that therefore the contract or relationship
was no longer in existence.32
Plaintiff, on the other hand, asserts that he and Mr. Corrao did not have an
employer-employee relationship at all.33 Plaintiff submits Mr. Corrao was a licensed real
estate broker who entered into a contract with Plaintiff to serve as his associate broker
and that a broker-associate broker contract is not an employer-employee relationship.34
Plaintiff notes that Mr. Corrao testified that he was an associate broker with Plaintiff's
real estate company, that he and Plaintiff discussed the terms of compensation, and that
there was a written agreement in the form of a letter that confirmed the terms of
compensation.35
Plaintiff submits that there is sufficient evidence in the record to be submitted to a
jury on the issue of whether Defendants interfered with Plaintiff's contract with Mr.
Corrao.36 Plaintiff alleges that Mr. Corrao told him that Capitol View approached Mr.
Corrao about working directly for Capitol View37 and that Michael Lau, a general partner
of both Capitol View and Cherrington, indicated that Capitol View and Mr. Corrao had
discussed the possibility of Mr. Corrao working directly for Capitol View prior to
Plaintiff's termination of Mr. Corrao.38 Plaintiff alleges that Capitol View engineered
32]d. at I0-11.
33 Plaintiff's Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 24.
34 Id.
35 Id.
36 Id. at 23.
37 xgd. at 27.
381d'
Plaintiff' s termination of Mr. Corrao by wrongfully ternfina ting i~s contract with Plaintiff,
thus resulting in Plaintiff being compelled to terminate Mr. C(~r:',:o because he no longer
had any work for him? Plaintiff further alleges thztt after Capitol View terminated
Plaintiff, Mr. Corrao continued to work as an associate broker and ultimately served as
the representative for the Timber Chase development, t0
It is clear that there is a disputed question of fact regarding the nature of the
business relationship between Plaintiff and Mr. Corrao. Furthermore, given the possible
interpretations of the events subjudice, this court is not in a position, based upon the
record as it exists, to hold as a matter of law that Plaintiff cannot recover tinder a theory
of intentional interference with contractual relations.
B. Pecuniary Losses
Defendants argue that the record is void of any evidence of proof of damages and
that Plaintiff has not suffered any pecuniary loss.41 Defendants submit that there can be
no separate damages for interference with any contract between Plaintiff and Mr. Corrao
because the alleged breaches by Defendants establish all damages recoverable by
Plaintiff? It is further argued by Defendants that any alleged breach by Defendants had,
at most, only the incidental consequence of affecting Plaintiff's relationship with Mr.
Corrao and that such an incidental consequence does not give rise to a claim for
interference with an existing contractual relationship.43
39 Id. at 29.
40 Id. at 28.
4~ Defendants' Brief in Support of Motion for Partial Summary Judgment, at 12.
42 Id.
n~Id. at 13.
10
In response to this argument, Plaintiff asserts that he suffered pecuniary losses as
a result of Mr. Corrao's nonperformance.44 According to Plaintiff, he would have earned
money in commissions on sales procured by Mr. Corrao.45 Plaintiff submits that his
pecuniary losses can be proven by the historical record of the commissions earned by
Plaintiff through Mr. Corrao's efforts during the time he worked for Plaintiff.46 Plaintiff
also notes that the terms of Mr. Corrao's engagement are of record47 as are copies of the
settlement statements from the sale of units at Crown Pointe, including the sales that Mr.
Corrao procured.48
The record contains evidence from which a trier of fact could conclude that the
Plaintiff suffered pecuniary losses. Without in any way suggesting that a trier of fact will
find that intentional interference with contractual relations occurred in this case, it would
be premature to summarily dispose of this cause of action at this time.
II. Count X: Claims of Intentional Interference with Prospective Contractual
Relations by Defendant Cherrington Group as to Plaintiff's Relationship
with Thomas Ceranic
Plaintiff has alleged that Defendants made it impossible for Plaintiff to come to
terms with Thomas Ceranic as a result of direct efforts by Defendants to recruit Mr.
Ceranic as well as alleged misrepresentations made to Mr. Ceranic in the course of these
communications .49
44 Plaintiff's Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 28.
45 Id. at 28-29.
46 Id. at 28.
47 See Deposition of Vincent R. Corrao, Exhibit 2.
4~ See Affidavit filed in support of PlaintiWs Motion for Summary Judgment.
49 PlaintiWs Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 9-1 1.
11
The Restatement (Second) of Torts provides ti~at:
[o]ne who intentionally and impropc~ 1> interferes wit~, another's
prospective contractual relation ... i3 st~bjcct to liability to the
other for the pecuniary harm resulting from loss of the benefits of
the relation, whether the interference consists of (a)inducing or
otherwise causing a third person not to enter into or continue the
prospective relation or (b) preventing the other from acquiring or
continuing the prospective relation.
Restatement (Second) of Torts, {}766B Pg. 20 (1979).
In order to make a valid claim for intentional interference with contractual
relations, a plaintiff must demonstrate (1) the existence of a prospective contractual
relation, (2) a purpose or intent on the part of the def~.'ndant to harm the plaintiff by
preventing the relationship from occurring, (3) an absence of privilege or justification on
the part of the defendant, and (4) the occasioning of' actual damages resulting from the
defendant's conduct. Thompson Coal Co. v. Pike Coal Co., 488 Pa. 198,208,412 A.2d
466, 471, (1979).
Defendants assert that Plaintiff has failed to demonstrate any of the four requisite
elements in his claim against Defendant Cherrington Group for intentional interference
with prospective contractual relations.
A. Prospective Contractual Relation
Defendants assert that Plaintiff had no realistic prospect of hiring Thomas Ceranic
and that there was no reasonable likelihood that an agreement would ever be reached
between Plaintiff and Mr. Ceranic.s° Defendants argue that Plaintiff never had more than
a mere hope of hiring Mr. Ceranic.51
~o Defendants' Brief in Support of Motion for Partial Summary Judgment, at 16.
~ Id. at 17.
12
Plaintiff; on the other hand, asserts he had more than a mere hope of hiring
Ceranic, and that in fact there was a reasonable likelihood that Mr. Ceranic would ha~'e
become Plaintiff's salesperson,s2 Plaintiff alleges that if Defendants had llo't interfered,
Mr. Ceranic would have been a member of Plaintiff's sales force?
It is clear that whether there was the existence of a prospective contractual
relation is a disputed question of fact. Consequently, Plaintiff is entitled to present this
issue to a trier of fact for resolution.
B. Purpose or Intent To Harm Plaintiff by Preventing the Relationship from
Occurring
Defendants assert that Plaintiff has produced no evidence nor is there any
evidence of record that the hiring of Mr. Ceranic was intended to harm Plaintiff and that
therefore summary judgment as to this claim is appropriate?
In response to this argument, Plaintiff asserts that Michael Lau made
misrepresentations to Mr. Ceranic concerning Plaintiff's status as a broker and that these
misrepresentations severed Plaintiff's ability to enter into a contract with Mr. Ceranic.55
According to Plaintiff, Defendants' intent to harm Plaintiff was motivated by a desire to
pay a lower commission to the person selling the Cherrington properties? Pursuant to
the Crown Pointe agreement, Plaintiff had been receiving a commission of 5% of the
52 Plaintiff's Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 19.
53 Id. at 20.
54 Defendants' Brief in Support of Motion for Partial Summary Judgment, at 17.
55 Plaintiff's Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 10-1 1.
56/d at 20.
13
sales price of units,s7 whereas Mr. Ceranic, pursuant to his agreement with Defendant
Cherrington Group. was paid a cc;remission 0f2.5%.s8
Defendants have not established that this element of the cause of action is lacking.
Plaintiff has presented sufficient evidence at this stage of the proceeding to create a
disputed question of fact as to whether Defendants intended any harm to Plaintiff.
C. Absence of Privilege or Justification on the Part of the Defendant
Defendants assert that the Cherrington Group had the right to pursue and protect
its legitimate business interests? According to Defendants, Plaintiff declined an offer to
be the sales agent of the Cherrington development arid the offer was then extended to Mr.
Ceranic.6° Thus, it was proper for Defendant Cherrington Group to hire Mr. Ceranic.61
Plaintiff, on the other hand, asserts that Defendants were not privileged to
interfere with any prospective contractual relations.62 According to Plaintiff, he and
Capitol View were in a direct contractual relationship and this relationship removes any
privilege?
Even though Plaintiff asserts his claim against Defendant Cherrington Group, this
court is satisfied that there is a disputed question of fact regarding this element of the
cause of action. In addition, Defendants have failed to cite any support for their
57 Amended complaint, Exhibit A (the Crown Pointe agreement).
58 Deposition of Thomas Ceranic, Exhibit 8 (agreement between the Cherrington Group and Mr. Ceranic).
5o Defendants' Brief in Support of Motion for Partial Summary Judgment, at 17.
60 Id.
6~ id'
62 Plaintiff's Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 21.
63 Id.
14
proposition that protection of business interests is a privilege that j,stifics their alleged
conduct in this situation. Thus, it cannot be said that Defendants a~'e e~:.~itled to judgment
as a matter of law as to this element of the cause of acti6~:.
D. Occasioning of Actual Damages Resulting from Defendant's Conduct
Defendants assert that Plaintiff cannot prove or produce any evidence that he has
sustained any damages.64 Defendants indicate that PlaintiWs compensation was fixed by
contract with Capitol View and the Cherrington Group and had no relationship to the
number of sales agents that Plaintiff hired.65
In response to this argument, Plaintiff asserts that he has suffered pecuniary losses
in the form of lost profits he would have earned by having Mr. Ceranic as a salesperson.66
Plaintiff has indicated that the hiring of Mr. Ceranic would have increased the sales of
Defendants' properties and would have enabled Plaintiff to seek other properties to
market.67
The arguments of the parties have once again indicated that there is a question of
material fact. This court cannot say as a matter of law that Plaintiff has failed to indicate
any pecuniary loss. As such, this issue is more properly decided by a trier of fact.
64 Defendants' Brief in Support of Motion for Partial Summary Judgment, at 17-18.
651d at 18.
66 Plaintiff's Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 22.
67 ld.
15
E. De.Cendants' Claim that Plaintiff Failed To Bring Suit within the Statute of
Lin~itat,ons
Defendants have also alleged that Plaintiff's claim for intentional interference
with prospective contractual relations is barred by the applicable statute of limitations?
The statute of limitations, however, is an affirmative defense. Pennsylvania Rule of Civil
Procedure 1030(a) provides that "all affirmative defenses including ... statute of
limitations ... shall be pleaded in a responsive pleading under the heading 'New Matter'."
Pursuant to Pennsylvania Rule of Civil Procedure 1032(a), "Iai party waives all defenses
and objections which are not presented either by preliminary objection, answer or
reply .... ' Defendants have not included this affirmative defense in their prior
preliminary objections or their answer. As a result, the statute of limitations claim is
deemed waived for purposes of the present motion?
III. Counts III, V, and VIII: Claims of Unjust Enrichment
With respect to Plaintiff's services in connection with the Crown Pointe
development, Plaintiff claims damages against Defendant Capitol View for breach of
contract in Count I and for unjust enrichment in Count II of the Amended Complaint.
With respect to Plaintiff's services in connection with the Cherrington development,
Plaintiff claims damages against Defendant Cherrington Group for breach of contract in
Count III and unjust enrichment in Count V. With respect to Plaintiff's services in
connection with the Timber Chase development, Plaintiff claims damages against
68 Defendants' Brief in Support of Motion for Partial Summary Judgment, at 18.
69 See also Thompson v. Southeastern Pennsylvania Transportation A uthority, 280 Pa. Super, 193, 421
A.2d 471 (1980) (Unless statute of limitations is pleaded as an affirmative defense, it is waived).
16
Defendant Capitol View for breach of contract in Cout:t VI and unjust enrichment in
Count VIII.
Defendants assert that PlaintiWs ciaims for unjust enrichment are not
appropriate? Defendants argue that the existence of a right to recover on a contract
precludes any claims of unjust enrichment.TM Thus, according to Defendants, they are
entitled to judgment as a matter of law as to these claims.72
Plaintiff concedes that he may not recover from Defendants on both the breach of
contract claims and the unjust enrichment claims? Plaintiff, however, has indicated that
Defendants have denied the existence of a contract with respect to the Cherrington and
Timber Chase developmentsTM and deny that they breached the Crown Pointe
agreement?
Pennsylvania Rule of Civil Procedure 1020(c) provides as follows:
(c) Causes of action and defenses may be pleaded in the
alternative.
(d)(1) If a transaction or occurrence gives rise to more than one
cause of action against the same person, including causes of action
in the alternative, they shall be joined in separate counts in the
action against any such person.
While it is true that claims for unjust enrichment are not applicable where the
relationship between the parties is founded upon a written agreement or express
70 Defendants' Brief in Support of Motion for Partial Summary Judgment, at 20.
711d'
72 Id.
73 PlaintiWs Brief in Opposition to Defendants' Motion for Partial Summary Judgment, at 33.
74 Answer with new matter of Defendants Capitol View Associates and the Cherrington Group to PlaintiWs
amended complaint and counterclaim of Capitol View Associates, paragraphs 163-164.
75 Id., paragraph 9 I.
17
col~tract,7~' Pem~sylvania courts have recognized that plaintiffs should not be precluded
l'r()m making claims in quasi-contract in case a cause of action for express contract fails?
Thus, based upon the foregoing analysis, Plaintiff is entitled to proceed with both his
claims of unjust enrichment and breach of contract. Therefore, Defendants are not
entitled to judgment as a matter of law.
IV. Conclusion
Plaintiff has produced sufficient evidence on each essential element of the
challenged claims. In addition, questions of material fact persist in the challenged claims
of Plaintiff and Defendants have not established that they are entitled to judgment as a
matter of law.
For the foregoing reasons, the following order will be entered:
ORDER OF COURT
AND NOW, thi~'~day of December, 1999, upon consideration of the motion for
partial summary judgment filed by Defendants Capitol View Associates and the
Cherrington Group, and for the reasons stated in the accompanying opinion, the motion is
denied.
BY THE COURT,
/s/J. Wesley Oler, Jr.
J. Wesley Oler, Jr., J.
76 See Thh'd National Bank & Trust Co. of Scranton v. Lehigh Valley Coal Company, 353 Pa. 185, 44 A.2d
571 (1945).
77 See Birchwood Lakes Community Association, Inc. v. Comis, 296 Pa. Super. 77, 442 A.2d 304 (I 982) (If
a plaintiff fails to succeed in his claim based on express contract he may not then attempt to demonstrate
contract implied in fact unless such has been averred in complaint).
18
Timothy Anstine, Esq.
100 Pine Street, Suite 510
Harrisburg, PA 17101
Attorney for Plaintiff
Keith O. Brenneman, Esq.
44 West Main Street
P.O. Box 318
Mechanicsburg, PA 17055
Attorney for Defendants
:rc
19