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JULIA HIRSCH v. MOUNT CARMEL DISTRICT INDUSTRIAL FUND (01/26/87)

submitted: January 26, 1987.

JULIA HIRSCH, MARTIN HIRSCH AND WILLIAM LANGFELDER, T/D/B/A JMW PARTNERSHIP, APPELLANTS,
v.
MOUNT CARMEL DISTRICT INDUSTRIAL FUND, INC. V. GERALD MALINOWSKI



Appeal from the Order entered August 14, 1986 in the Court of Common Pleas of Northumberland County, Civil Division, at No. CV-85-360.

COUNSEL

Leroy G. Adams, Pottsville, for appellants.

Robert B. Hoffman, Harrisburg, for Mount Carmel, appellee.

Gerald Malinowski, Mount Carmel, for Malinowski, appellee.

Beck, Kelly, and Hoffman, JJ.

Author: Hoffman

[ 363 Pa. Super. Page 434]

This is an appeal from the order below granting appellee's motion for summary judgment. Appellants contend that the lower court erred in holding that a release provision in a second contract between the parties barred appellants from recovering against appellee for appellee's negligent performance of its obligations under a prior agreement between the parties. We agree and, accordingly, reverse the order below and remand the case for trial.

The pertinent facts, summarized by the court below, are as follows:

[Appellants] filed a Complaint against [appellee] on 6 March 1985. The central allegation of the Complaint was that [appellee] failed to complete financing arrangements through Pennsylvania Industrial Development Authority (PIDA) in an expeditious manner and that a prior agreement between the parties would have resulted in [appellants'] eventual enjoyment of the benefits of this financing . . . . The Complaint alleged . . . damages to [appellants] in interest and legal fees which were paid as the result of the delay. On 15 April 1985, the [appellee] filed an Answer . . . alleg[ing] [that] a contractual release . . . [insulated appellee] from liability . . . .

[ 363 Pa. Super. Page 435]

Lower Court Opinion at 1-2. Appellee later filed a motion for summary judgment, based upon the contractual release. The lower court granted the motion and entered judgment in favor of appellee. This appeal followed.

Appellants contend that the lower court erred in holding, as a matter of law, that the release provision bars them from recovering from appellee in tort for appellee's negligent performance of its duties under the previous agreement. We agree.

The court based its holding upon this Court's opinion in Raab v. Keystone Ins. Co., 271 Pa. Superior Ct. 185, 412 A.2d 638 (1979), appeal dismissed, 496 Pa. 414, 437 A.2d ...


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