UGI Sunbury LLC v A Permanent Easement
Filing
99
MEMORANDUM OPINION (Order to follow as separate docket entry). Signed by Honorable Matthew W. Brann on 4/24/18. (lg)
IN THE UNITED STATES DISTRICT COURT
FOR THE MIDDLE DISTRICT OF PENNSYLVANIA
No. 3:16-CV-00791
UGI SUNBURY, LLC,
Plaintiff.
(Judge Brann)
v.
A PERMANENT EASEMENT FOR
0.1073 ACRES IN MONROE
TOWNSHIP, SNYDER COUNTY,
PENNSYLVANIA TAX PARCEL NO.
12-08-017
LORRAINE BLETT
RALPH L. BLETT, JR.
FIRST NATIONAL BANK OF
PENNSYLVANIA
and ALL UNKNOWN OWNERS,
Defendants.
MEMORANDUM OPINION
APRIL 24, 2018
The above-captioned matter is scheduled for a bench trial in this Court
beginning Monday, May 14, 2018. The parties have filed various motions in
limine and have submitted briefing on those motions and other issues.
UGI’s Motion in Limine to Exclude the
Testimony of Defendant’s Expert Witness
UGI has moved to exclude the testimony of Defendant’s expert witness
pursuant to Federal Rule of Evidence 702, arguing that the expert’s report is
“riddled with errors of material fact” and is “not the product of reliable principles
and methods.”
This Court will deny UGI’s motion. Both the Supreme Court of the United
States and the United States Court of Appeals for the Third Circuit have
expounded on Rule 702’s “reliability” and “fit” requirements.1
This Court,
however, is granted wide discretion when deciding whether those requirements
have been met.2 Because the upcoming trial is a bench—not jury—trial, because
there is a “strong preference for admission”3 of expert testimony, and because this
Court believes that “hearing the expert’s testimony and assessing its flaws [is] an
important part of assessing what conclusion [is] correct”,4 this Court will admit the
testimony of Defendant’s expert.5 UGI may, of course, present its own expert and
1
See, e.g., Daubert v. Merrell Dow Pharmaceuticals, Inc., 509 U.S. 579, 589-91 (1993);
Kumho Tire Co. v. Carmichael, 526 U.S. 137 (1999); In re Paoli R.R. Yard PCB Litigation,
35 F.3d 717, 742-743 (3d Cir. 1994).
2
Kumho, 526 U.S. at 152 (“a court of appeals is to apply an abuse-of-discretion standard when
it reviews a trial court’s decision to admit or exclude expert testimony”).
3
Id.
4
In re Paoli, 35 F.3d at 547.
5
UGI also argued that Defendant’s expert report should be excluded because it was submitted
slightly outside the timeframe set by this Court. That argument is likewise rejected.
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may also vigorously cross examine Defendant’s expert vis-à-vis any perceived
flaws or inconsistencies in his methodology. This Court, as finder of fact, will
carefully consider the soundness of both experts’ reasoning and their opinions’
factual basis, and will attentively evaluate the experts’ credibility.
Defendant’s Motion in Limine to Exclude
the Testimony of UGI’s Expert Witness
Defendant has likewise moved to exclude the testimony of UGI’s expert
witness, also arguing that the expert’s report contains legal and factual errors. For
the reasons discussed above, that motion will be denied, but thorough crossexamination will be permitted.
Defendant’s Motion to Use Pennsylvania Law
Defendant has moved this Court to use Pennsylvania law when determining
the amount of “just compensation” owed by UGI.
Judges in this District have previously concluded that federal—not state—
law applies in condemnation actions brought pursuant to the Natural Gas Act.6
Other courts have come to the opposition conclusion.7 Recently, however, the
6
See, e.g., Tennessee Gas Pipeline Company Co. v. Permanent Easement for 1.7320 Acres,
2014 WL 690700 at *6-10 (M.D. Pa. February 24, 2014).
7
Columbia Gas Transmission Corp. v. Exclusive Natural Gas Storage Easement, 962 F.2d
1192, 1195-99 (6th Cir. 1992).
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Honorable A. Richard Caputo of this Court has certified this question for
interlocutory appeal to the Third Circuit.8
Federal and Pennsylvania law both define “just compensation” as the
difference between a property’s pre-taking and post-taking value.9 Pennsylvania
eminent domain law, however, allows a condemnee to collect several forms of
damages not available under federal law. In its Proposed Findings of Fact and
Conclusions of Law, Defendant has signaled an intent to seek damages in the form
of “professional fees,” as provided for under Pennsylvania,10 but not federal, law.
As was discussed at the pretrial conference on April 13, 2018, however, Defendant
has not pled those damages in its answer, and UGI argues that those damages
should, therefore, not be recoverable.11
This Court consequently ordered the
parties to submit briefs on that issue, which are due on April 27, 2018.
In light of the pending resolution of this issue by the Third Circuit, a ruling
on this motion will be stayed. If this Court, however, decides that unpled damages
8
Tennessee Gas Pipeline Company, L.L.C. v. Permanent Easement for 7.053 Acres, 2017 WL
4954093 (M.D. Pa. November 1, 2017).
9
See United States v. 68.94 Acres of Land, More or Less, Situate in Kent County, State of Del.,
918 F.2d 389, 393 n.3 (3d Cir. 1990); 26 Pa. C.S. § 702(a).
10
See, e.g., 26 Pa. C.S. § 710 (allowing condemnees to “be reimbursed in an amount up to
$4,000 “as a payment toward reasonable expenses actually incurred for appraisal, attorney[,]
and engineering fees”).
11
Defendant has also sought so-called “delay damages,” which may be available under both
federal and Pennsylvania law. See Portland Natural Gas Transmission System v. 19.2 Acres
of Land, 195 F. Supp. 2d 312, 323 (D. Mass. 2002).
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are unavailable to Defendant—an issue on which this Court currently expresses no
opinion—this motion will be denied as moot.
Defendant’s Motion to Exclude UGI’s Lay Witnesses
Defendant has moved to exclude UGI’s lay witnesses on the basis of
relevance. This motion will be denied, but Defendant may raise any pertinent
relevancy objection at trial.
An appropriate Order follows.
BY THE COURT:
s/ Matthew W. Brann
Matthew W. Brann
United States District Judge
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