Township of Millcreek v. A. Cres Trust of June 25, 1998
142 A.3d 948
Pa. Commw. Ct.2016Background
- Millcreek Township filed a declaration of taking (2005) and amended it (2006) to condemn .618 acres of property owned by the Angela Cres Trust as part of a stormwater/channel project.
- The Trust filed preliminary objections; on December 16, 2009 the trial court sustained them, holding the Township lacked authority under The Second Class Township Code to create a new channel. This Court affirmed; Supreme Court denied review.
- After the Township unsuccessfully sought leave to amend its declaration (2012), the Trust filed a Fee Petition (Oct. 23, 2013) seeking reimbursement of roughly $3.36 million in fees/costs (attorneys, experts, and related proceedings).
- The trial court (July 16, 2014) revested title in the Trust; subsequently the court (Dec. 16, 2014 and Aug. 19, 2015) awarded the Trust $517,868 in attorney fees/costs and $164,000 in expert fees/costs, substantially less than requested.
- Township appealed asserting the Fee Petition was untimely under 42 Pa.C.S. §5505 (30–day modification window); Trust cross-appealed claiming the awards were unreasonably low. The Commonwealth Court affirmed the trial court on both jurisdiction and award amounts.
Issues
| Issue | Plaintiff's Argument (Trust) | Defendant's Argument (Township) | Held |
|---|---|---|---|
| Jurisdiction / Timeliness of Fee Petition | Eminent Domain Code is exclusive and contains no deadline for fee petitions; petition timely under that Code | Section 5505 bars modification beyond 30 days of the final order (Dec. 16, 2009), so fee petition filed Oct. 23, 2013 was untimely | Eminent Domain Code governs fee petitions; no §5505 cutoff applied here; trial court had jurisdiction and July 16, 2014 revesting order was final for purposes of timing — affirmed |
| Scope of recoverable costs (EHB and related litigation) | Fees/costs from Environmental Hearing Board and related suits were incurred because of the condemnation and should be recoverable under former §408 | Environmental Hearing Board and other litigation were separate/ancillary and not "because of" the condemnation proceeding | Trial court did not err: EHB and unrelated litigation costs excluded because they were not costs "because of the condemnation proceedings" — affirmed |
| Reasonableness and quantum of fee awards | Trust argued full claimed amounts were reasonable; trial court improperly reduced awards (should not have applied proportionality or discounted for overlap/use in other suits) | Township argued many entries were block billed, duplicative, excessive, or unrelated; Trust’s experts provided conclusory review | Trial court’s factual findings credited Township expert (detailed line review) over Trust experts; reductions for duplication, overstaffing, block billing, travel, paralegal rates, and unrelated work were within discretion — affirmed |
| Application of LaRocca and methodology for setting award | LaRocca factors incorrectly applied; trial court should have done line-by-line or otherwise awarded more; factors inapplicable to expert fees | LaRocca factors appropriate to assess reasonableness; trial court properly used them and reasonable methodology given inadequate proof from Trust | LaRocca factors apply; trial court’s reliance on them and its methodology (including using Township’s reasonable counsel costs as a baseline and doubling) was not an abuse of discretion — affirmed |
Key Cases Cited
- Township of Millcreek v. Angela Cres Trust of June 25, 1998, 25 A.3d 1288 (Pa. Cmwlth. 2011) (affirming trial court ruling that Township lacked statutory authority to condemn for a new channel)
- McGaffic v. City of New Castle, 973 A.2d 1047 (Pa. Cmwlth. 2009) (discussing accrual of damages and recovery of litigation costs in de facto takings)
- In re LaRocca’s Trust Estate, 246 A.2d 337 (Pa. 1968) (sets factors for determining reasonable counsel fees)
- In re: Condemnation by the Commonwealth, Dep’t of Transp., 709 A.2d 939 (Pa. Cmwlth. 1998) (distinguishes statutory recovery of costs from just compensation; limits recovery to reasonable fees actually incurred because of condemnation)
- Ness v. York Township Bd. of Comm’rs, 123 A.3d 1166 (Pa. Cmwlth. 2015) (held fee petition untimely under §5505 where statute governing fees was not exclusive)
- Harborcreek Twp. v. Ring, 570 A.2d 1367 (Pa. Cmwlth. 1990) (explains appellate review scope in eminent domain fee awards)