SBA Towers v. Wireless Holdings ( 2020 )


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  • J-E02003-19
    
    2020 Pa. Super. 86
    SBA TOWERS II LLC                        :   IN THE SUPERIOR COURT OF
    :        PENNSYLVANIA
    Appellant             :
    :
    :
    v.                          :
    :
    :
    WIRELESS HOLDINGS, LLC AND               :   No. 325 WDA 2018
    JEFF MACALARNEY                          :
    Appeal from the Order Entered February 8, 2018
    In the Court of Common Pleas of Blair County Civil Division at No(s):
    2016 GN 01215
    BEFORE: BOWES, J., SHOGAN, J., LAZARUS, J., OLSON, J., STABILE, J.,
    DUBOW, J., KUNSELMAN, J., NICHOLS, J., MURRAY, J.
    OPINION BY MURRAY, J.:                                 FILED APRIL 6, 2020
    SBA Towers II LLC (Appellant) appeals from the order granting in part
    and denying in part Appellant’s motion for a permanent injunction. We first
    conclude that, pursuant to Pa.R.A.P. 311(a)(4), this appeal is properly before
    this Court despite Appellant’s failure to file a post-trial motion. Upon careful
    review, we further hold that the trial court erred in finding a contract
    ambiguity. We thus affirm in part and reverse in part.
    The notes of testimony from the May 8, 2017 evidentiary hearing reveal
    that on December 18, 2009, Appellant executed a lease with Appellee,
    Wireless Holdings (Wireless Holdings), to rent an outdoor cellular tower and
    an indoor “shelter” in Altoona, Pennsylvania. N.T., 5/8/17, at 2. Appellant
    sub-leased the outdoor tower to cell phone carriers, including Verizon, as well
    as to the State Police, the Federal Bureau of Investigation, and the Bureau of
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    Alcohol, Tobacco, Firearms and Explosives (ATF).
    Id. at 14,
    23. The shelter
    was located on the second floor of Wireless Holding’s building, and it housed
    Verizon equipment that enabled cellular communications through the tower.
    Id. at 26.
    Pertinently, Paragraph 18 of the parties’ lease stated:
    Access to Leased Space/Premises. [Appellant] shall have at all
    times during the initial term or renewal term the right of access
    to and from the Leased Space and all utility installations servicing
    the Leased Space on a 24 hours per day/7 days per week basis,
    on foot or by motor vehicle, including trucks, and for the
    installation and maintenance of utility wires, cables, conduits and
    pipes over, under and along the right-of-way extending from the
    nearest accessible public right-of-way.
    Lease, 12/18/09, at 4.
    For six years, Appellant accessed the shelter via a lockbox, located on
    the outside of the building.   N.T., 5/8/17, at 11.     Meanwhile, Appellant’s
    tenants and their subcontractors could access the property by calling
    Appellant’s “knock center” or signing into an “app.”
    Id. at 25.
    According to
    Appellant, it, as well as its tenants, required 24-hour access to the leased
    premises to perform any necessary repairs.
    Id. at 14.
    In approximately 2016, Wireless Holdings became concerned with
    possible theft and equipment damage, arising from: the disappearance of a
    key from the lockbox; the presence, in the building, of “millions of dollars of
    inventory” owned by Wireless Holding’s sister company, ComPros; the
    presence of Blair County’s 911 call system as another tenant; the presence of
    an unidentified individual in the building, which involved a response from the
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    Logan Township Police; another individual who “stalk[ed]” a Wireless Holdings
    employee and was detained by the police; and the presence of a nearby hotel
    that was “a magnet for crime.” See N.T., 5/8/17, at 35, 54, 67, 80. Wireless
    Holdings thus removed the lockbox and imposed the following regulations:
    Appellant, its tenants, and their contractors were to check-in upon entering
    the building; Appellant’s tenants and contractors were to submit to criminal
    background checks in order to enter the building; and for access to the
    property outside regular business hours, Appellant was to call Wireless
    Holdings and a representative would meet at the property to allow entry. See
    id. at 14,
    34, 37-38, 67-68.
    On April 15, 2016, Appellant filed the underlying motion for a temporary
    injunction against both Wireless Holdings and Jeff MacAlarney, an employee
    of Wireless Holdings.1   The motion averred that the parties’ lease did not
    permit Wireless Holdings to enforce the new check-in or criminal background
    conditions. The motion further averred that Wireless Holdings was physically
    blocking Appellant’s access to the tower by storing cable and debris in front
    of a gate, and requested an injunction prohibiting such interference. The trial
    court issued a preliminary injunction, temporarily granting the requested
    relief. Wireless Holdings filed preliminary objections, which did not address
    1While the parties’ 2009 lease identified Mr. MacAlarney as the president of
    Wireless Holdings, the May 8, 2017 hearing transcript did not identify his
    position.
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    whether its conduct was permissible under the terms of the lease.2
    The trial court conducted an evidentiary hearing on May 8, 2017.
    Appellant called its regional operations manager, James Dellavalle, who
    testified that he managed 270 cell towers throughout central and western
    Pennsylvania, and Appellant had “24/7 access” at all but one of these towers
    and Wireless Holdings’ building.     N.T., 5/8/17, at 8-9, 11.     Appellant’s
    employees, carriers, maintenance workers, and utility companies all need
    access to the cell towers in order to repair equipment as quickly as possible.
    Id. at 9,
    13-14. On separate occasions, one of Appellant’s contractors and a
    Verizon employee were denied access to the property, and in November of
    2016, Mr. Dellavalle himself was told by Mr. MacAlarney that Mr. Dellavalle
    could not be there because he had not signed in.
    Id. at 12,
    16-17, 27. Finally,
    Wireless Holdings placed bags of salt, debris, and spools of cable in such a
    way as to block both Appellant’s and Verizon’s access to the property.
    Id. at 18,
    20, 22, 31-32.
    Appellant also called as a witness Mr. MacAlarney, who testified about
    Wireless Holdings’ security concerns, as outlined above. N.T., 5/8/17, at 54,
    2 Instead, the preliminary objections averred that Appellant failed to file a
    complaint; failed to establish that Mr. MacAlarney was a properly-named
    defendant; and failed to plead any facts justifying an injunction. Wireless
    Holdings further argued that an injunction was unnecessary because any
    person wishing to access the shelter could “easily obtain the necessary
    criminal background” check.     Wireless Holdings’ Preliminary Objections,
    4/15/16, at 3.
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    59. He stated that Wireless Holdings merely wanted individuals visiting the
    property to be accompanied by Appellant’s or Verizon’s employees, and if they
    were not, to check in or, if they were a regular visitor, to establish
    “credentials.”
    Id. at 63,
    77-79. Mr. MacAlarney estimated that over a year,
    a subcontractor will visit the shelter once or twice, and Verizon employees
    may visit once or twice a month.
    Id. at 81.
      Mr. MacAlarney denied that
    Wireless Holdings ever blocked access, because anyone wishing to visit could
    comply with the conditions.
    Id. at 65.
    With respect to the after-hours call-in
    procedure, Mr. MacAlarney stated that Wireless Holdings has “technicians on
    call 24/7” and they could typically arrive at the property within 15 to 20
    minutes.
    Id. at 66,
    82.
    Additionally, Mr. MacAlarney stated that criminal background checks for
    building visitors was a condition imposed on Wireless Holdings by another
    tenant, the Blair County 911 call center. N.T., 5/8/17, at 61-62, 68; see also
    Trial Court Opinion, 2/8/18, at 5. Mr. MacAlarney conceded, however, that
    Wireless Holdings’ lease with Appellant did not provide for criminal background
    checks, and Appellant’s lease preceded Wireless Holdings’ lease with the Blair
    County 911 call center.
    Id. at 60-63,
    68, 84. Finally, Mr. MacAlarney denied
    that any equipment was blocking Appellant’s access to the property.
    Id. at 47,
    75.
    Wireless Holdings did not present any evidence, and made no argument
    that the lease was ambiguous.        Instead, on cross-examination of Mr.
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    Dellavalle, Wireless Holdings suggested that it was reasonable to require
    individuals to check-in when entering the building, where ComPros had stored
    “millions of dollars worth of inventory” and individuals in the building “could
    sabotage the 911 system of Blair County and cause great harm.” N.T., 5/8/17,
    at 34-35. Wireless Holdings also argued that security issues had “changed”
    from 2009, when the lease was executed.3
    Id. at 35-36.
    3   The relevant exchange was:
    [Wireless Holdings:] And are you aware that people within
    that building have access to millions of dollars worth of inventory
    from ComPros?
    [Mr. Dellavalle:] Don’t know.
    Q. That they have direct access where they could sabotage
    the 911 system of Blair County and cause great harm?
    A. When we purchased [sic] the tower why wasn’t this put
    in place as soon as we purchased [sic] the tower?
    [Wireless Holdings:] Would you acknowledge that the issue
    of security has changed over time and that the things we found to
    be silly in 2000 we don’t find to be silly now?
    A. No.
    [Appellant’s counsel:] Objection, Your Honor.
    BY THE COURT: Well he clearly doesn’t have any knowledge
    of what else might be going on in the building and has said that.
    ....
    [Wireless Holdings’ counsel:] The point being is that things
    between when the lease originally was done and now have
    changed. . . .
    N.T., 5/8/17, at 35-36.
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    Following the hearing, the parties submitted briefs. Appellant requested
    that the trial court permanently enjoin Wireless Holdings’ various restrictions
    because they were not authorized by the lease terms allowing Appellant free
    ingress and egress. Meanwhile, Wireless Holdings averred, for the first time,
    both that nothing in the lease prohibited “reasonable procedures” for access
    to the property, and the language allowing “24/7” access was ambiguous.
    Wireless Holdings’ Trial Brief, 7/27/17, at 7-8 (unpaginated).
    On February 8, 2018, the trial court issued an opinion and the underlying
    order. It granted in part Appellant’s request for a permanent injunction by
    barring Wireless Holdings from physically blocking Appellant’s access to the
    property with equipment. However, the court denied the request in part by
    permitting Wireless Holdings to enforce its check-in, after-hours call-in, and
    criminal background check procedures.      The court observed that whereas
    Appellant would add the word “unrestricted” just before the provision
    providing “24 hours per day/7 days per week” access, Wireless Holdings would
    add the phrase “reasonably restricted.” Trial Court Opinion, 2/8/18, at 7. The
    court thus found an ambiguity “because the lease specifically supports neither
    position.”
    Id. The court
    then resolved the perceived ambiguity in Wireless Holdings’
    favor, finding that the lease should be interpreted to allow “reasonable
    restrictions essential to [Wireless Holdings’] duty to provide security for the
    premises.”   Trial Court Opinion, 2/8/18, at 8.   In support, the court cited
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    another portion of the lease, which it termed the “Hold Harmless Clause,” and
    which stated:
    [Wireless Holdings] will be held harmless by [Appellant] from any
    liability for damages to any person or any property in or upon the
    Leased Space at [Appellant’s] invitation, or for damages to any
    person or property resulting from the actions of [Appellant]
    (including damages caused by or resulting from the existence of
    the Structures) on the Leased Space, unless the damages are
    caused by, or are the result of, the misconduct or
    negligence of [Wireless Holdings] or any of [Wireless
    Holdings’] agents, servants, employees, licensees, or invitees. . .
    Id. at 8,
    quoting Lease, 12/18/09, at 3 (emphasis added).
    Appellant did not file a motion for reconsideration, but filed a timely
    notice of appeal.    The trial court did not issue a Pa.R.A.P. 1925(b) order
    directing Appellant to file a concise statement of matters complained of on
    appeal.
    At the outset, we consider whether this appeal is properly before us,
    where Appellant did not file a post-trial motion. This Court issued a per curiam
    order directing Appellant to show cause why this appeal should not be
    dismissed on this basis pursuant to Pa.R.Civ.P. 227.1(c)(2).             Appellant
    responded that the appeal was proper pursuant to Pa.R.A.P. 311 and Thomas
    A. Robinson Family, Ltd. v. Bioni, 
    178 A.3d 839
    (Pa. Super. 2017) (Bioni).
    This Court discharged the rule to show cause, but advised that the merits
    panel may revisit this issue.
    Pennsylvania Rule of Civil Procedure 227.1(c)(2) provides: “Post-trial
    motions shall be filed within ten days after . . . the filing of the decision in the
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    case of a trial without jury.” Pa.R.Civ.P. 227.1(c)(2) (emphasis added).
    In Bioni, the trial court granted a preliminary injunction, which
    prohibited the defendants from interfering with the plaintiffs’ access to a strip
    of land. 
    Bioni, 178 A.3d at 841
    . Following a hearing, the court granted a
    permanent injunction, which barred the defendants from interfering with not
    only the plaintiffs’ access, but also the public’s access.
    Id. at 842.
    On appeal
    by the defendants, this Court considered whether to quash, where the
    defendants had not filed a post-trial motion.
    Id. at 843.
    We noted that under
    Rule 227.1,
    a party must file post-trial motions at the conclusion of a trial in
    any type of action in order to preserve claims that the party
    wishes to raise on appeal. In other words, a trial court’s order at
    the conclusion of a trial, whether the action is one at law or in
    equity, simply cannot become final for purposes of filing an appeal
    until the court decides any timely post-trial motions.
    Id. at 844
    (emphasis in original), quoting Chalkey v. Roush, 
    805 A.2d 491
    ,
    496 (Pa. 2002).
    However, this Court also considered Pa.R.A.P. 311(a)(4), which provides
    that an interlocutory appeal may be taken as of right from:
    (4) Injunctions.—An order that grants or denies, modifies
    or refuses to modify, continues or refuses to continue, or dissolves
    or refuses to dissolve an injunction unless the order was entered:
    *    *    *
    (ii) After a trial but before entry of the final order.
    Such order is immediately appealable, however, if the order
    enjoins conduct previously permitted or mandated or
    permits or mandates conduct not previously mandated or
    permitted, and is effective before entry of the final order.
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    Pa.R.A.P. 311(a)(4)(ii). Generally, “it is improper to file a motion for post-
    trial relief when appealing pursuant to Rule 311.” 
    Bioni, 178 A.3d at 846
    ,
    quoting Nevyas v. Morgan, 
    921 A.2d 8
    , 13 (Pa. Super. 2006). The Bioni
    Court reasoned,
    an appeal may be taken from an order that (because a final
    judgment has not yet been entered) is not otherwise appealable
    under Rule 311(a)(4)(ii) if (1) the order enjoins conduct
    previously allowed or allows conduct previously prohibited, and
    (2) the injunction takes effect before entry of a final judgment.
    Id. at 847.
    Applying this rationale to the facts before it, the Bioni Court observed
    that the order granting permanent injunctive relief took immediate effect, was
    not contingent upon entry of a final judgment, and imposed different terms
    from those under the preliminary injunction (barring interference with the
    plaintiffs’ access, versus barring interference with the plaintiffs’ and the
    public’s access).   
    Bioni, 178 A.3d at 847
    .   This Court concluded that the
    permanent injunction was an interlocutory order immediately appealable as
    of right under Rule 311(a)(4)(ii), and thus the defendants were not required
    to file a post-trial motion before taking an appeal.
    Id. at 847-848.
    Applying Bioni, we note that in the present case, final judgment was
    not entered. However, the trial court’s permanent injunction took immediate
    effect, and allowed conduct that was prohibited under the preliminary
    injunction — namely, that Wireless Holdings could impose conditions affecting
    Appellant’s access to the property.      Accordingly, pursuant to Pa.R.A.P.
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    311(a)(4)(ii) and the reasoning set forth in Bioni, we conclude that this appeal
    is properly before us. See Pa.R.A.P. 311(a)(4)(ii); 
    Bioni, 178 A.3d at 847
    -
    848.
    Appellant presents two issues for our review:
    [1.] Whether the Trial Court erred in failing to grant the injunctive
    relief requested by [Appellant]?
    [2.] Whether the Trial Court improperly mandated changes to the
    parties’ lease when no Petition or Bond was posted by [Wireless
    Holdings] seeking such equitable relief and [Appellant] was not
    put on notice of the potential that such injunctive relief could be
    issued?
    Appellant’s Brief at 2.
    In its first issue, Appellant avers that the trial court erred in finding that
    Paragraph 18 of the parties’ lease was ambiguous. Appellant’s Brief at 14.
    Appellant maintains that the plain language and express terms of Paragraph
    18 clearly granted it “24/7” access to the property, and nothing in the lease
    restricted or modified this access.
    Id. at 11-13.
        Appellant contends that
    Wireless Holding did not point to any conflicting terms in the lease, but rather
    “simply advanced a novel argument that the Lease is somehow ambiguous
    because it did not include the terms ‘restricted’ or ‘unrestricted.’”
    Id. at 14.
    Appellant asserts that the trial court erred in reading “an ambiguity into an
    agreement that could easily have been addressed by parties within its express
    terms.”
    Id. at 15-16,
    citing Wert v. Manorcare of Carlisle PA, LLC, 
    124 A.3d 1248
    (Pa. 2015).       Appellant concludes that the trial court effectively
    reformed the parties’ lease to allow Wireless Holdings to impose restrictions
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    on Appellant’s right of access, in contravention of the clear terms of the lease.
    We agree.
    We first recite the law regarding appellate review: “The grant or denial
    of a permanent injunction is a question of law. Regarding the trial court’s
    legal determination, our standard of review is de novo, and our scope of
    review is plenary.” 
    Bioni, 178 A.3d at 843
    (citation omitted).
    “The interpretation of a contract is a matter of law and, as such,
    we need not defer to the trial court’s reading of the [a]greement.”
    It is also well[-]established that under the law of
    contracts, in interpreting an agreement, the court must
    ascertain the intent of the parties.
    In the cases of a written contract, the intent of the parties
    is the writing itself. If left undefined, the words of a
    contract are to be given their ordinary meaning. When
    the terms of a contract are clear and unambiguous, the
    intent of the parties is to be ascertained from the
    document itself. . . .
    With specific reference to what constitutes “ambiguity” in the
    context of contract interpretation, our Supreme Court has opined
    as follows:
    Contractual language is ambiguous “if it is reasonably
    susceptible of different constructions and capable of
    being understood in more than one sense.” This is not a
    question to be resolved in a vacuum. Rather, contractual
    terms are ambiguous if they are subject to more than
    one reasonable interpretation when applied to a
    particular set of facts. We will not, however, distort the
    meaning of the language or resort to a strained
    contrivance in order to find an ambiguity.
    Lenau v. Co-Exprise, Inc., 
    102 A.3d 423
    , 429-430 (Pa. Super. 2014)
    (citations omitted).
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    [Contract] language is not rendered ambiguous “if the court can
    determine its meaning without any guide other than a knowledge
    of the simple facts on which, from the nature of the language in
    general, its meaning depends[.]” Mere disagreement between the
    parties on the meaning of language or the proper construction of
    contract terms does not constitute ambiguity.
    Betz v. Erie Ins. Exch., 
    957 A.2d 1244
    , 1253-1254 (Pa. Super. 2008)
    (citations omitted).
    There are two types of contract ambiguity. “[A] latent ambiguity arises
    from extraneous or collateral facts which make the meaning of a written
    agreement uncertain although the language thereof, on its face, appears clear
    and unambiguous.” 
    Betz, 957 A.2d at 1254
    n.2 (citation and parentheses
    omitted). “The usual instance of a latent ambiguity is one in which a writing
    refers to a particular person or thing and is thus apparently clear on its face,
    but upon application to external objects is found to fit two or more of them
    equally.” Steuart v. McChesney, 
    444 A.2d 659
    , 663 (Pa. 1982) (citations
    omitted). On the other hand, a “patent ambiguity is that which appears on
    the face of the instrument, and arises from the defective, obscure, or
    insensible language used.”        
    Betz, 957 A.2d at 1254
    n.2 (citation and
    parentheses omitted).
    Finally, our Supreme Court:
    long ago emphasized that ‘[t]he parties [have] the right to make
    their own contract, and it is not the function of this Court to re-
    write it, or to give it a construction in conflict with . . . the accepted
    and plain meaning of the language used.’ “‘It is not the province
    of the court to alter a contract by construction or to make a new
    contract for the parties; its duty is confined to the interpretation
    of the one which they have made for themselves, without regard
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    to its wisdom or folly.’” In 17A C.J.S. Contracts § 296(3), appears
    the following:
    The court may not rewrite the contract for the purpose
    of accomplishing that which, in its opinion, may appear
    proper, or, on general principles of abstract justice . . .
    make for [the parties] a better contract than they chose,
    or saw fit, to make for themselves, or remake a contract,
    under the guise of construction, because it later appears
    that a different agreement should have been
    consummated in the first instance . . . .
    
    Steuart, 444 A.2d at 662
    (citations omitted).
    As stated above, the parties’ lease provides:
    18. Access to Leased Space/Premises. [Appellant] shall
    have at all times during the initial term or renewal term the right
    of access to and from the Leased Space and all utility installations
    servicing the Leased Space on a 24 hours per day/7 days per week
    basis, on foot or by motor vehicle, including trucks, and for the
    installation and maintenance of utility wires, cables, conduits and
    pipes over, under and along the right-of-way extending from the
    nearest accessible public right-of-way.
    Lease, 12/18/09, at 4.
    We agree with Appellant that the language of Paragraph 18 is not
    ambiguous. See 
    Lenau, 102 A.3d at 429
    . In granting Appellant “the right of
    access” to the property and all utility installations servicing the leased space,
    Paragraph 18 delineated the hours of access (“on a 24 hours per day/7 days
    per week basis”) and the manner of access (“on foot or by motor vehicle,
    including trucks”). See Lease, 12/18/09, at 4. Paragraph 18 also stated that
    Appellant may access the property to install and maintain utility equipment.
    Notably, Paragraph 18 did not impose any restrictions on Appellant’s access
    to the property, and it was silent as to whether Wireless Holdings may, in the
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    future, impose any restrictions. While the trial court interpreted this silence
    as an ambiguity, we conclude that the lack of any restriction, or provision for
    future modification, evinced the parties’ intent not to restrict Appellant’s
    access.
    Neither the trial court nor Wireless Holdings addressed whether the
    alleged ambiguity was patent or latent.4 See 
    Betz, 957 A.2d at 1254
    n.2. As
    the court did not identify any “defective, obscure, or insensible language”
    appearing on the face of the lease, we infer that it did not find a patent
    ambiguity. See
    id. Although a
    latent ambiguity may arise “from extraneous or collateral
    facts which make the meaning of a written agreement uncertain although the
    language thereof, on its face, appears clear and unambiguous,” we conclude
    that the trial court’s reliance on Wireless Holdings’ post-lease security
    concerns was misplaced. See 
    Betz, 957 A.2d at 1254
    n.2. This Court’s prior
    findings of a latent ambiguity have generally arisen from the parties’ dispute
    over the meaning of a term present in the contract, not the absence of
    language specifying prospective concerns.
    For example, in In re Estate of Schultheis, 
    747 A.2d 918
    (Pa. Super.
    4 We note that Wireless Holdings’ dual arguments on appeal — that (1) its
    “check-in procedures” did not interfere with Appellant’s “24/7 access” and (2)
    the lease was ambiguous because it did not define “24/7 access” — are in
    conflict. See Wireless Holdings’ Brief at 17, 19. Under the former rationale,
    Wireless Holdings argues that it complied with the lease terms (which
    presumably are clear), whereas in the latter, they aver that the lease terms
    are not clear.
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    2000), the testator’s will bequeathed “my shares of stock” to nine devisees,
    listing the specific amounts of shares, which totaled 2,045, to each devisee.
    Id. at 920.
    The will also gave the residuary estate to the appellants.
    Id. at 919.
      After the testator’s death, however, the executrix learned that the
    testator in fact owned 3,288 shares of stock.
    Id. The appellants
    argued that
    the additional 1,243 shares were a part of the residuary estate, and thus
    should be given to them.
    Id. This Court
    concluded that the testamentary
    term, “my shares of stock,” was a latent ambiguity because it was unclear
    whether the term referred only to the 2,045 shares of stock that the testator
    believed he owned, or to all of the stock he in fact owned.
    Id. at 923,
    926.
    Further, in Z & L Lumber Co. v. Nordquist, 
    502 A.2d 697
    (Pa. Super.
    1985), a contract stated that a builder was “to perform all the labor shown on
    the working drawings and described in the specifications.”
    Id. at 698.
    “The
    working drawings and specifications consisted of a series of ten documents[.]”
    Id. This Court
    concluded that the term “specifications” was a latent
    ambiguity, where the parties ascribed different meanings: the contractor
    contended that the “specifications” were limited to the second through sixth
    drawings, whereas the defendant argued the “specifications” consisted of the
    seventh and eighth drawings.
    Id. at 700-701.
    In the present case, our review reveals that the evidence did not
    establish — and the trial court did not find — that when Appellant and Wireless
    Holdings executed the lease, they ascribed different meanings to any of the
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    existing terms in Paragraph 18.          In this regard, we emphasize Mr.
    MacAlarney’s testimony conceding that the lease did not provide for criminal
    background checks. N.T., 5/8/17, at 60. Instead, as discussed above, the
    trial court found ambiguity based on the absence, within the detailed
    paragraph prescribing Appellant’s access to the property, of any further
    specification as to whether the access may be “restricted.” This perceived
    absence of an additional term or condition did not create a latent ambiguity.
    See 
    Steuart, 444 A.2d at 663
    ; 
    Betz, 957 A.2d at 1254
    n.2. The trial court’s
    rationale would allow a party to modify its contractual rights or obligations, or
    the other party’s rights or obligations, by simply arguing that the contract was
    silent as to whether that alteration was permissible.
    That Wireless Holdings may have become concerned following the
    execution of the lease about security — however reasonable a concern — is
    not relevant. See 
    Lenau, 102 A.3d at 429
    (“When the terms of a contract
    are clear and unambiguous, the intent of the parties is to be ascertained from
    the document itself.”). Appellant kept expensive equipment and property on
    the leased premises, and the parties, both sophisticated business entities,
    could have included in the lease, terms allowing Wireless Holdings to impose
    security procedures.    See Newman Dev. Group of Pottstown, LLC v.
    Genuardi’s Family Mkt., Inc., 
    98 A.3d 645
    , 659 (Pa. Super. 2014) (en banc)
    (finding no error in trial court’s decision not to reduce landlord’s verdict for
    future damages to present value, where commercial contract was negotiated
    - 17 -
    J-E02003-19
    by sophisticated business people who had the ability to control, decide and
    design remedies for breach).        Instantly, the parties included no such
    provisions in the lease, and the trial court may not alter that which the “parties
    have made for themselves, without regard to its wisdom or folly.”            See
    
    Steuart, 444 A.2d at 662
    . Although an ambiguity could, in another scenario,
    arise from the silence in a contract as to a particular term, Wireless Holdings
    in this case failed to articulate a basis for finding ambiguity in Paragraph 18
    of the lease, e.g., unclear wording or punctuation, the impossibility of
    enforcement of the contract term as written, or language in another paragraph
    that would make Paragraph 18 confusing or unworkable.
    Finally, we note that it was undisputed that Wireless Holdings’
    requirement for criminal background checks was implemented due to the
    condition being imposed by the Blair County 911 call center.           See N.T.,
    5/8/17, at 61-62, 68; Trial Court Opinion, 2/8/18, at 5 (“Apparently, the
    criminal background checks became policy based on the requirements of
    another tenant at the site (the County 911 Center) which also has millions of
    dollars of equipment on the property.”). The subsequent demands of another
    tenant do not support the unilateral alteration of the parties’ existing Lease.
    For the reasons discussed above, we reverse the portion of the trial court’s
    order denying in part Appellant’s motion for a permanent injunction.
    As to Appellant’s second issue, Appellant argues that even if the trial
    court correctly concluded that the lease was ambiguous, the court “improperly
    - 18 -
    J-E02003-19
    mandated changes to the parties’ lease” and erred in not considering the
    parties’ course of performance over the first seven years of the lease. In light
    of our disposition of Appellant’s first issue, we need not address this claim.
    In sum, and in light of the foregoing, we affirm the trial court’s order to
    the extent it enjoined Wireless Holdings from physically obstructing
    Appellant’s access to the premises. However, we reverse the order to the
    extent it permitted Wireless Holdings to impose restrictions on Appellant’s
    contractual “24/7” access, i.e. by requiring check-ins, after-hours call-ins, and
    criminal background checks.
    Order affirmed in part and reversed in part.            Case remanded.
    Jurisdiction relinquished.
    Judge Bowes, Judge Lazarus, Judge Olson, Judge Dubow, Judge
    Kunselman, and Judge Nichols join the opinion.
    Judge Stabile files a concurring and dissenting opinion in which Judge
    Shogan joins.
    Judgment Entered.
    Joseph D. Seletyn, Esq.
    Prothonotary
    Date: 4/6/2020
    - 19 -
    

Document Info

Docket Number: 325 WDA 2018

Filed Date: 4/6/2020

Precedential Status: Precedential

Modified Date: 4/6/2020