Superior Court Reverses Inconsistent Award in Breach of Contract Case

In a breach of contract case involving a commercial landlord/tenant dispute, the Pennsylvania Superior Court reversed a Philadelphia judge's ruling that the landlord simultaneously breached a contract while no contract existed.

A three-judge panel consisting of Judges Jack A. Panella, Anne E. Lazarus and Correale F. Stevens reversed in part and denied in part a Philadelphia Court of Common Pleas judge's ruling in favor of Gamesa Energy USA's case against Ten Penn Center Associates (referred to as “TenPC” in the court's opinion).

Gamesa alleged TenPC breached the lease by failing to make a decision on a proposed sublease with another company, BSI, within the timeframe dictated by the lease, according to Panella's opinion. Gamesa claimed that TenPC had broken the terms of the lease and demanded damages along with a ruling that the lease had been rescinded as of the date TenPC failed to accept or reject the sublease. Gamesa also requested that it be reimbursed for the rent it paid after that point.