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PENNSYLVANIA RECORD

Sunday, June 2, 2024

Construction company says 12-year statute of repose should bar Belle Vernon school district's suit

Schools
Michaelpflynn

Flynn | Dickie McCamey & Chilcote

PITTSBURGH – An Ohio company contends that the Belle Vernon Area School District cannot sue it over the failure of the bus canopy it built for the District back in 2005, since Pennsylvania has only a 12-year statute of repose when it comes to construction projects.

Belle Vernon Area School District of Belle Vernon first filed suit in the Fayette County Court of Common Pleas on April 4 versus Tremco, Inc. of Beachwood, Ohio.

“Plaintiff owns a building located at 500 Perry Avenue, Fayette County, Pennsylvania, known as ‘Marion Elementary School.’ Defendant provided a quote for certain work dated Oct. 19, 2005, related to the construction and installation of the entrance bus canopy at Marion Elementary School. This quotation included a specified scope of work for the sum of $75,000,” the suit said.

“Plaintiff accepted that quote on the same date, at which time the quote was returned to defendant by facsimile. Under the scope of work in the proposal, defendant was to design, install and properly secure a bus canopy at the entrance to the Marion Elementary School. Included in the proposal is a ‘Tremco Performance Warranty.”

The suit added that the plaintiff does not have a physical copy of the “Tremco Performance Warranty.”

“Defendant created and provided the design of the bus canopy system that was installed at Marion Elementary School. At some time after Oct. 19, 2005, the bus canopy system was installed at plaintiff’s Marion Elementary School. On or about Sept. 19, 2019, the canopy system partially failed, causing roof damage to the main structure. After that partial failure, defendant was advised of that partial failure and issued plaintiff a quote for a scope of work for replacement in the amount of $76,600. On or about July 22, 2020, the canopy system completely failed. The canopy system collapsed and unattached from its moorings into the structure of the building,” the suit stated.

“Specifically, the canopy’s right front column was completely sheared, the left front column was partially sheared, the decking and joists had separated from the back half of the canopy, and the edge support beams had pulled away from the columns. The District believes and therefore avers that the canopy was not designed properly, was not installed properly, and was not anchored properly. Defendant’s accepted quote included the design, installation and anchoring of the canopy. At all times relevant hereto, the design, installation and anchoring of the canopy was in the sole control of the defendant. The canopy system has failed, was improperly designed, constructed and/or installed, and will require full replacement.”

The defendants then removed the case to the U.S. District Court for the Western District of Pennsylvania on April 28, pointing to diversity of citizenship between the parties and the amount of damages in question, which exceed $75,000.

UPDATE

On May 5, Tremco motioned to dismiss the case, pointing to Pennsylvania’s 12-year statute of repose on construction projects.

“This case arises out of the alleged failure of a bus canopy at Marion Elementary School in July 2020. Plaintiff seeks to recover damages and a replacement bus canopy from Tremco, who originally installed the bus canopy in 2005. However, plaintiff’s claim fails due to the application of Pennsylvania’s explicit 12-year statute of repose related to construction projects. This statute operates as an absolute time bar to any claims related to the construction of the bus canopy and took effect several years before the alleged failure of the canopy in 2020. Plaintiff cannot maintain this claim against Tremco and this Court should dismiss plaintiff’s complaint,” the dismissal motion stated.

“Pennsylvania courts applying 42 Pa.C.S. Section 5536(a) indicate that it operates as an absolute bar to claims when the appropriate elements are met. In order for Section 5536 to bar a plaintiff’s claims, three elements must be met: “(1) What is supplied [by defendant] is an improvement to real property; (2) More than 12 years have elapsed between the completion of the improvements to the real estate and the injury; and (3) The activity of the moving party must be within the class which is protected by the statute.”

Tremco argues that all three of those statutory conditions were met in this case.

“In this case, all three elements exist for the application of the statute of repose to bar plaintiff’s claim. First, the bus canopy constitutes an ‘improvement’ to real property. The complaint indicates the bus canopy was to be built and attached to the existing elementary school structure. Further, the complaint alleges the failure of the canopy damaged not only the canopy itself, but the connected school building and its roof. Plaintiff also alleges that the failure deprived it of the use of the canopy to shelter students and faculty during student arrivals and departures. The bus canopy was installed outside of the school and anchored using concrete holes at least 32 inches deep, anchoring 6” x 6” posts to hold up the canopy. The installation of a structure such as this constitutes a valuable addition to the property and was intended to enhance the value and utility of the property for the school district,” the dismissal motion added.

“The second element is also met, as the canopy was constructed in 2005. Plaintiff then alleges the canopy failed on July 22, 2020, after suffering partial damage on Sept. 19, 2019. Plaintiff then filed this action by Writ of Summons on Nov. 4, 2021. Even taking the earliest possible date of injury, Sept. 19, 2021, the earliest any injury occurred to the canopy was over 14 years after it was originally constructed. Consequently, more than 12 years have elapsed since the completion of the improvements and the alleged injury. Finally, Tremco is also within the class of individuals the statute of repose was designed to protect. Based on the allegations in the complaint, Tremco was involved, at a minimum, in the design, planning, supervision and construction of the bus canopy. In fact, the failures plaintiff alleges against Tremco all go to failures related to the design and construction of the canopy.”

For counts of breach of contract and breach of warranty, the plaintiff is seeking damages in excess of arbitration limits.

The plaintiff is represented by Amy R. Schrempf and Joseph W. Cavrich of Andrews & Price, in Pittsburgh.

The defendant is represented by Michael P. Flynn and Paul A. Roman Jr. of Dickie McCamey & Chilcote, also in Pittsburgh.

U.S. District Court for the Western District of Pennsylvania case 2:23-cv-00706

Fayette County Court of Common Pleas case 2058-2021

From the Pennsylvania Record: Reach Courts Reporter Nicholas Malfitano at nick.malfitano@therecordinc.com

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