PA Energy Vision, LLC. v. South Avis Realty, Inc. ( 2017 )

J-S19033-17
NON-PRECEDENTIAL DECISION - SEE SUPERIOR COURT I.O.P. 65.37
PA ENERGY VISION LLC D/B/A : IN THE SUPERIOR COURT OF
HENRY STREET : PENNSYLVANIA
:
:
v. :
:
:
SOUTH AVIS REALTY, INC. :
: No. 1105 MDA 2016
Appellant :
Appeal from the Order Entered June 6, 2016
In the Court of Common Pleas of Clinton County
Civil Division at No(s): 1364-12
BEFORE: GANTMAN, P.J., BENDER, P.J.E. and STEVENS, P.J.E.*
MEMORANDUM BY STEVENS, P.J.E.: FILED MAY 12, 2017
This matter returns to us after remand and relinquishment of
jurisdiction in PA Energy Vision, LLC v. South Avis Realty, Inc., 120
A.3d 1008 (Pa.Super. 2015) (“PA Energy I”). Specifically, Appellant, South
Avis Realty, Inc. (“South Avis”), appeals from the post-remand Order of
June 6, 2016, denying its oral motion that Appellee, PA Energy Vision LLC
D/B/A Henry Street (“Henry Street”), reimburse it the $14,470.00 it paid
pursuant to a preliminary injunction requiring each party to pay half the
costs associated with restoring a railroad crossing. Relying on this Court’s
holding in PA Energy I that a subsequent permanent injunction terminated,
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*
Former Justice specially assigned to the Superior Court.
J-S19033-17
and thereby nullified, the preliminary injunction, the lower court found that
no further issues could arise from the preliminary injunction. We affirm.1
Our decision in PA Energy I provides an apt summary of the
underlying procedural and factual history such that we do not include a full
recitation of the facts herein. Suffice it to say that South Avis owns a former
Conrail railroad line constituting a 30-foot-wide right-of-way passing through
a 26-acre parcel of land owned by Henry Street. In 2012, South Avis
removed and replaced 115 feet of damaged railroad line to promote safe
train travel. Also removed in the process was a railroad crossing providing
access to Henry Street’s property and which Henry Street’s predecessor in
interest regularly used to move heavy equipment across the tracks.
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1
On December 7, 2016, Henry Street filed a motion to quash the instant
appeal based upon either the alleged failure of South Avis to preserve its
issue for appeal with a formal petition for reimbursement to the lower court,
or the mootness of the issue raised. See generally Motion to Quash Appeal,
12/7/16. We reject the first proposed basis, as we find South Avis properly
raised, argued, and therefore preserved its issue during the post-remand
hearing in the court below. See N.T. 6/6/16. Thus, we decline Henry
Street’s invitation to conclude that South Avis failed to petition the court for
relief.
We also disagree that dismissal for mootness is necessary, for
although PA Energy I previously held that the nullification of the
preliminary injunction in question rendered moot an issue raised in that
appeal, South Avis raised a new issue on remand positing that the
nullification did not prevent recovery of damages under Pa.R.C.P. 1531(b).
Furthermore, the trial court’s order effectively put South Avis out of court in
a case where neither the court nor the parties perceived any other
outstanding issues. We, therefore, refuse to quash on this basis, as well,
and address South Avis’ issue, infra.
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Eventually, a dispute arose between the parties regarding whether
restoration of the crossing was required and, if so, who should pay.
On November 16, 2012, Henry Street sought a preliminary injunction
seeking restoration and maintenance of the railroad crossing to
accommodate its legal right of use. After a hearing, the trial court entered
an “interim order” directing South Avis to restore the crossing and each
party to pay 50% of the restoration costs. South Avis installed a new
crossing costing $28,940.
Following a full hearing on the merits, the lower court ruled that the
deed conveyed from Conrail to South Avis created a right in Henry Street to
use the crossing. Accordingly, the court permanently enjoined South Avis
from interfering with Henry Street’s use, but it also ordered Henry Street to
pay all restoration costs as the sole use beneficiary. After the denial of the
parties’ respective post-trial motions, South Avis appealed to this Court.
In PA Energy I, this Court reversed the lower court’s judgment
permanently enjoining South Avis from interfering with Henry Street’s use of
the railroad crossing, as we discerned no legal entitlement in Henry Street to
use the crossing. Having thereby invalidated the permanent injunction, we
deemed moot Henry Street’s cross-appeal assailing the second part to the
permanent injunction directing Henry Street to pay all restoration costs.
We also declared moot South Avis’ challenge to the preliminary
injunction granting Henry Street relief, but on different grounds.
Specifically, we concluded that the lower court’s issuance of a subsequent
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permanent injunction terminated the preliminary injunction as a matter of
law, rendering it a nullity. We remanded the matter and relinquished
jurisdiction.
On remand, the lower court conducted a status conference to
determine if any issues remained following the decision of this Court. N.T.
6/6/16 at 2. Neither the lower court nor Henry Street identified any
remaining issues, but South Avis sought reimbursement of its $14,750
restoration payment pursuant to Pa.R.C.P. 1531(b), which provides that a
plaintiff shall pay damages to any person injured from a preliminary
injunction later dissolved because it was improperly granted.2 South Avis
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2
Pennsylvania Rule of Civil Procedure 1531, “Special Relief.
Injunctions,” provides, in pertinent part:
(a) A court shall issue a preliminary or special injunction only
after written notice and hearing unless it appears to the
satisfaction of the court that immediate and irreparable
injury will be sustained before notice can be given or a
hearing held, in which case the court may issue a
preliminary or special injunction without a hearing or
without notice.
***
(b) Except when the plaintiff is the Commonwealth of
Pennsylvania, a political subdivision or a department,
board, commission, instrumentality or officer of the
Commonwealth or of a political subdivision, a preliminary
or special injunction shall be granted only if
(1) the plaintiff files a bond in an amount fixed
and with security approved by the court,
naming the Commonwealth as obligee,
(Footnote Continued Next Page)
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essentially posited that the PA Energy I decision, through its invalidation of
the permanent injunction, effectively declared the preliminary injunction
improperly granted for purposes of Rule 1531(b). N.T. at 2-3.
The trial court disagreed, opining that this Court’s decision specifically
declared the preliminary injunction a nullity because the trial court had
issued a final, permanent injunction. N.T. at 3. “If it’s a nullity, there’s
nothing for me to do. The Superior Court says it doesn’t exist[,]” the trial
court explained. Accordingly, the trial court entered its order of June 6,
2016, declining to grant South Avis the relief it sought. This timely appeal
followed.
South Avis presents the following question for our review:
DID THE TRIAL COURT PROPERLY DENY SOUTH AVIS
REALTY, INC.’S REQUEST TO BE REIMBURSED THE COST
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(Footnote Continued)
conditioned that if the injunction is
dissolved because improperly granted or
for failure to hold a hearing, the plaintiff
shall pay to any person injured all damages
sustained by reason of granting the
injunction and all legally taxable costs and
fees, or
(2) the plaintiff deposits with the prothonotary
legal tender of the United States in an amount
fixed by the court to be held by the
prothonotary upon the same condition as
provided for the injunction bond.
Pa.R.C.P. No. 1531(a) and (b) (emphasis added).
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OF RESTORATION IT WAS ORDERED TO PAY AS PART OF
THE TRIAL COURT’S ENTRY OF AN “INTERIM ORDER,”
EVEN THOUGH THAT RULING WAS DETERMINED BY THIS
COURT TO BE INVALID?
Appellant’s brief at 4.
South Avis argues that this Court, in PA Energy I, deemed the
preliminary injunction a nullity only within the context of deciding Henry
Street’s cross-appeal, which challenged the permanent injunction’s directive
that Henry Street was solely responsible for payment of restoration costs as
a matter of equity. See N.T. at 3. Otherwise, South Avis argues, PA
Energy I invalidated the preliminary injunction, which, if true, would
provide a pathway for recovery under Rule 1531(B). South Avis
misconstrues our prior decision in this case.3
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3
To the extent South Avis’ position may be read as a request that this Court
revisit our prior determination nullifying the preliminary injunction, we would
deny such request under the “law of the case” doctrine. As our Supreme
Court has observed:
This doctrine refers to a family of rules which embody the
concept that a court involved in the later phases of a litigated
matter should not reopen questions decided by another judge of
that same court or by a higher court in the earlier phases of the
matter. See 21 C.J.S. Courts § 149a; 5 Am.Jur.2d Appeal and
Error § 744. Among the related but distinct rules which make up
the law of the case doctrine are that: (1) upon remand for
further proceedings, a trial court may not alter the resolution of
a legal question previously decided by the appellate court in the
matter; (2) upon a second appeal, an appellate court may not
alter the resolution of a legal question previously decided by the
same appellate court[.]
***
(Footnote Continued Next Page)
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In fact, we declared the preliminary injunction a nullity in response to
South Avis’ appeal challenging the propriety of the preliminary injunction.
Our holding in this regard was unqualified and unconditional, and it rested
upon the application of settled law that the issuance of a subsequent,
permanent injunction nullifies a preliminary injunction. PA Energy I, 120
A.3d at 1012-13. We neither considered whether the preliminary injunction
was proper nor, it follows, deemed the preliminary injunction invalid. As we
explained:
South Avis argues the trial court erred in granting a preliminary
injunction. This issue, however, is now moot because the trial
court issued a final, permanent injunction. The issuance of a
permanent injunction supersedes a preliminary injunction.
Den–Tal–Ez, Inc. v. Siemens Capital Corp., [] 566 A.2d
1214, 1217 n. 1 (Pa.Super. 1989) (en banc). “Where a
preliminary injunction is in force, the issuance of a permanent
injunction terminates the preliminary injunction.” Izenson v.
Izenson, [] 418 A.2d 445, 446 (Pa.Super. 1980) (per curiam)
(internal citation omitted). In Izenson, for example, we
dismissed an appeal from an order granting a preliminary
injunction, because the trial court granted final injunctive relief
during the appeal's pendency, and the appellants failed to appeal
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(Footnote Continued)
The various rules which make up the law of the case doctrine
serve not only to promote the goal of judicial economy (as does
the coordinate jurisdiction rule) but also operate (1) to protect
the settled expectations of the parties; (2) to insure uniformity
of decisions; (3) to maintain consistency during the course of a
single case; (4) to effectuate the proper and streamlined
administration of justice; and (5) to bring litigation to an end.
21 C.J.S. Courts § 149a
Commonwealth v. Starr, 664 A.2d 1326, 1331 (Pa. 1995).
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the order granting the permanent injunction. Id. Here, the trial
court rendered a decision on the merits and issued a permanent
injunction. Any issues regarding the granting of a preliminary
injunction cannot now be considered in this appeal. Den–Tal–
Ez, supra; Izenson, supra.
PA. Energy I, 120 A.3d. at 1012-13.4 Accordingly, there was no contextual
limitation to our pronouncement that the permanent injunction had
absolutely nullified the preliminary injunction and rendered moot “any
issues” regarding the preliminary injunction.5
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4
Cf. Coll. Watercolor Grp., Inc. v. William H. Newbauer, Inc., 360 A.2d
200, 207–08 (Pa. 1976) (allowing appellant to seek damages from allegedly
improper preliminary injunction despite subsequent issuance of permanent
injunction, where permanent injunction was narrower than preliminary
injunction and did not govern matter challenged). In the case sub judice,
the preliminary injunction and permanent injunction were coextensive.
5
Moreover, we considered it unnecessary to address Henry Street’s claim
only because we had invalidated the permanent injunction and its underlying
judgment imposing a unilateral payment obligation upon Henry Street as
sole use-beneficiary of the restored railroad crossing. See Id., 120 A.3d at
1013-1017 (setting forth legal standard for granting a permanent injunction
and applying it to review lower court’s judgment). Specifically, we held:
In light of the foregoing whereby we have reversed the trial
court’s judgment granting equitable relief to Henry Street, we
need not address Henry Street’s cross-appeal that the trial court
erred in imposing upon Henry Street the full costs of repair of
Crossing 2. Because we reverse the trial court’s judgment, it
follows also that the granting of relief imposing costs of
restoration as a part of that judgment is a nullity.
Id. at 1017.
Therefore, our decision disposing of Henry Street’s cross-appeal did
not involve the preliminary injunction at all. Rather, we simply held that
Henry Street was no longer bound to pay all restoration costs as the sole
(Footnote Continued Next Page)
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The fact that the preliminary injunction was not dissolved as
improperly granted is dispositive to the controversy before us now. South
Avis predicated its present claim on Rule 1531(b), which, as explained
above, provides a mechanism by which a party injured by a preliminary
injunction dissolved as improperly granted may recover resultant damages.
However, in PA Energy I, this Court clarified that the preliminary injunction
in this case was not so dissolved but was, instead, superseded and nullified
as a matter of law by a permanent injunction. Indeed, South Avis asked this
Court in PA Energy I to invalidate the preliminary injunction, but we
refused to reach the question of its validity, as it was, at that time, a legal
nullity. On remand, the trial court properly implemented this Court’s
determination in this regard. Accordingly, Rule 1531(b) offers no relief to
South Avis, such that we may not find error with the trial court’s rejection of
South Avis’ claim.
Appellee’s Motion to Quash is DENIED. Order is AFFIRMED.
Judgment Entered.
Joseph D. Seletyn, Esq.
Prothonotary
Date: 5/12/2017
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(Footnote Continued)
beneficiary of the crossing, as we invalidated the permanent injunction and
corresponding judgment therein mandating such payment.
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