Pennsylvania Services Corp. v. Texas Eastern Transmission, LP
98 A.3d 624
| Pa. Super. Ct. | 2014Background
- Texas Eastern appeals an order granting Emerald declaratory relief on subjacent support rights for pipelines crossing Emerald’s D District coal mine; four active pipelines run beneath the surface several feet underground.
- Pennsylvania DEP issued a 2010 permit authorizing Emerald to mine via longwall in D District with a pre-mining mitigation measures condition requiring Emerald to obtain or show evidence of an agreement with Texas Eastern regarding mitigation measures.
- Emerald filed a five-count complaint seeking declaration of superior rights to coal, support estate, and mining rights, plus injunctive relief to require Texas Eastern to fund mitigation measures.
- Texas Eastern answered with counterclaims asserting ownership of subjacent support and seeking inverse condemnation/adverse possession theories, claiming the US Government’s involvement (DPC) and preexisting waivers affected rights.
- The trial court granted Emerald partial summary judgment on ownership of the surface support, denied Texas Eastern’s cross-motions, and the order was appealed as a final declaratory judgment under 42 Pa.C.S. § 7532.
- The court concluded that the Coal Severance Deeds waivered the right to subjacent support; it rejected theories of de facto takings by DPC and adverse possession; and affirmed the trial court’s declaratory judgment.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Who owns/controls subjacent support under D District pipelines | Emerald argues deeds waived support; Texas Eastern argues retained or acquired right | Texas Eastern contends preexisting US interests and eminent-domain principles transfer rights | Emerald owns the subjacent support due to waiver in Coal Severance Deeds. |
| Did DPC’s eminent-domain action or defacto taking acquire subjacent support for Texas Eastern | Emerald contends no de facto taking occurred; no exceptional circumstances | Texas Eastern asserts DPC’s purchase and sovereign powers transferred support rights | No de facto taking found; no eminent-domain transfer of subjacent support established. |
| Did Texas Eastern acquire subjacent support by adverse possession | Emerald argues 21-year possession not shown by Texas Eastern’s use | Texas Eastern claims 50+ years of occupation constituted hostile use | Adverse possession/prescription not established; no title to subjacent support. |
| Are Penn Gas Coal and Griggs controlling on eminent-domain/surface support issues | Emerald relies on Penn Gas Coal to show sovereign-ownership limits | Texas Eastern argues Griggs supports government taking/entering surface to support surface | Penn Gas Coal controls; no de facto taking; Griggs inapplicable to this factual context. |
Key Cases Cited
- Penn Gas Coal Co. v. Versailles Fuel Gas Co., 19 A. 933 (Pa. 1890) (eminent-domain limits and surface support; entry upon surface transmits to subjacent support; sovereign title issues)
- Glen Alden Coal Co. v. Smith, 32 A.2d 235 (Pa. 1943) (land estates and third estate (subjacent support) concept; severances create waivers)
- 4 Consolidation Coal Co. v. White, 875 A.2d 318 (Pa.Super.2005) (waiver of surface support rights when severed coal estate conveyed)
- Penman v. Jones, 256 Pa. 416, 100 A. 1043 (Pa. 1917) (conveyance language and scope of rights to subjacent support)
- Hetrick v. Apollo Gas Co., 608 A.2d 1077 (Pa.Super.1992) (separation of surface, mineral, and subjacent support estates)
- Griggs v. Allegheny County, 369 U.S. 84 (1962) (airspace vs surface use; not controlling here for de facto taking)
- Cranberry v. Dep’t of Transp., 805 A.2d 59 (Pa.Cmwlth.2002) (defacto-takings framework elements)
- In re Condemnation by Dep’t of Transp. of Right-of-Way for State Route 079, 805 A.2d 59, 805 A.2d 59 (Pa.Cmwlth.2002) (condemnation/way-use deprivation standards)