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EMLENTON AREA MUNICIPAL AUTHORITY v. SIDNEY L. MILES (10/05/88)

filed: October 5, 1988.

EMLENTON AREA MUNICIPAL AUTHORITY
v.
SIDNEY L. MILES, DOING BUSINESS, AS MILES DEVELOPING AND CONTRACTING, APPELLANT



Appeal from the Orders of the Court of Common Pleas, Clarion County, Civil Division, at E.Q. Nos. 715 of 1986 and 412 of 1987.

COUNSEL

David B. Acker, District Attorney, Coudersport, for appellant.

Jon M. King, Emlenton, for appellee.

Brosky, Kelly and Hester, JJ.

Author: Brosky

[ 378 Pa. Super. Page 304]

This is an appeal from the Order of December 30, 1987, which permanently stayed arbitration of the disputes between the parties. Appellant now contends that the trial court erred in finding that the contract between the parties required mutual agreement before any disputes arising from the contract could be submitted to arbitration.

[ 378 Pa. Super. Page 305]

Upon consideration of the record and the briefs of counsel, we now reverse and remand for further proceedings consistent with this Opinion.

On March 13, 1985, appellee Emlenton Area Municipal Authority ("Emlenton") entered into a contract with appellant Sidney L. Miles, d/b/a Miles Developing and Contracting ("Miles"), wherein Miles was to construct a municipal waste water collection and treatment works in Venango and Clarion Counties, Pennsylvania. During the performance of the contract, certain disputes pertaining to the contract arose between the parties, causing them to assert claims for damages against one another.

On June 2, 1986, Miles, in an attempt to resolve his claims against Emlenton, filed a demand for arbitration with the American Arbitration Association. Emlenton responded on August 6, 1986, by filing an application for stay of arbitration proceedings with the Clarion County Court of Common Pleas.

With that matter still pending, Emlenton then filed, on May 4, 1987, an action at law in the same court, asserting its claims for damages against Miles and his surety,*fn1 Fidelity and Deposit Company of Maryland. In response to the action at law, Miles filed, on June 5, 1987, an application to compel arbitration. The court entered an order that same day to stay the proceedings at law, pending resolution of the issue of the arbitrability of the dispute.

On October 1, 1987, an order was entered with respect to Miles' claims against Emlenton, granting Emlenton's application for a stay of arbitration; similarly, on October 7, 1987, an order was entered in Emlenton's action at law against Miles, denying Miles' application to compel arbitration. In both instances, the court held that those portions of the contract comprising the parties' agreement to arbitrate, only provide for the submission of any dispute or ...


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