Additional information is available in this. Moore & Van Allen PLLCserved as counsel to the ESOP trustee. The company will match $0.25 per $1.00, up to 3% of your gross earnings. Document No. Id. The Third Circuit has set out four factors to guide this discretion: "(1) whether the claimant has been less than diligent in prosecuting the action; (2) whether the defendant has been unjustly enriched; (3) whether an award would be compensatory; and (4) whether countervailing equitable considerations militate against a surcharge." Our fleet is comprised of Kenworth and Freightliner, including 125 tractors and 150 refrigerated trailers. Corp., No. The companys primary activity is east of the Mississippi, with a lot of business on 95, 70, 81, up and down the East Coast, Gerdin said. 97-6331, 2001 U.S. Dist. The Clerk of Court entered default against Defendant Truck and Bus Wash, Inc. (hereinafter "TBW" or "Defendant") on October 25, 2006, (Document No. Becoming A Truck Driver is a dream we've all pondered at some point in our lives. TBW's breach has therefore caused Smith $53,076.78 in additional payroll expenses. With the sale and the leaseback, Commercial Observer put the value of the deal at $95.5 million. June 08, 2022 08:30 ET As the evidence demonstrates, those losses include money spent covering the System's inability to achieve the contract specifications. squat rack smith machine Such damages in this case include the $135,193.76 Plaintiff reportedly paid to Blue Beacon and the additional wash-bay attendants, as well as the $265,985.28 Smith owes Siemens under the financing agreement for the System. Candidate will deliver freight to Harrisburg Pa, Philadelphia, Pa and Baltimore, MD. Home Daily, Must live within 25 miles of Chicago, IL. Required fields are marked *. Sign up today for your free Reader Account. Specifically, TBW claimed the System would require only two wash-bay attendants and could wash thirty trucks per day at a rate of fifteen minutes per truck. Mass. 10, pp. Smith operates a fleet of about 850 company tractors, with an average age of less than three years, and approximately 2,000 dry van trailers. "At a minimum, reasonable certainty embraces a rough calculation that is not too speculative, vague or contingent upon some unknown factor." A gain of that size would be close to all of the companys net income for 2021, which came in at $79.3 million. Since its initial public offering in 1986, Heartland has grown from approximately $20 million in revenue to one of North Americas largest, most profitable, and best capitalized truckload carriers. The Court thus concludes that Smith has incurred the following damages as a result of Defendant's failure to perform according to the Parties' contract: 1) $53,076.78 in additional payroll expenses; 2) $88,736.08 in third-party truck-washing fees; and 3) the $144,610.78 necessary to replace the defective TBW system with a truck washer capable of performing at the levels specified in the original sale contract. Id. We just dont have as many to pick from., (This article has been updated with comments from Heartland management and additional financial information. Am. 85-2052, 1986 U.S. Dist.
1975) (citation omitted). 
10, p. 9-10. Hussey Metals Div. Musselman also confirmed that between July 2005 and December 2006, the period during which the System should have been fully functioning, Smith has spent an average of $4,670.32 per month sending tractor-trailers to Blue Beacon for washing. There is no obligation whatsoever. 51-100 miles $.40 additional pay per mile. 964, 968-69 (W.D.
Subscribe Now, Download the FreightWaves app for unlimited access to news and insights (Android & iOS Available), Copyright 2022, All Rights Reserved, FreightWaves, Inc, FreightWaves needs the contact information you provide to us to contact you about our products and services. Awarding Plaintiff the expense it will incur replacing the defective System better comports with the general interest in preserving the benefit of the bargain than would returning the Parties to their ex ante positions. You've disabled cookies in your web browser. 
A third-party browser plugin, such as Ghostery or NoScript, is preventing JavaScript from running. You may unsubscribe from these communications at any time. Because there is no indication that TBW's breach prevented any gains, the remaining issue is whether the Court should also award Plaintiff prejudgment interest.
Smith claims that such an amount also represents its restitution damages, which would "require the party in breach to disgorge the benefit received by returning it to the party who conferred it." This was the beginning of the transportation element of the business. With the ability to pay cash and invest in our headquarters, and the desire for Smith to remain an independent brand operated by the same people, the choice was clear. Its industry recognized team of professionals has executed 200+ transactions exceeding $15 billion in total value. The modern fleet is not expected to require any out of cycle investment. The transaction closed in June of 2022. Bonding Ins. Frank B. Bozzo, Inc. v. Elec. The only thing missing in your inbox is FreightWaves.
A hearing was held before the Court on March 15, 2007, to address all issues of damages, costs, and expenses. The price quote given Plaintiff indicates the overall cost of that replacement to be $156,310.78. Smith continues to make these monthly payments. The company has grown from operating five tractors to nearly 1000 units. ATACS, 155 F.3d at 669 ("The preferred basis of contract damages seeks to protect an injured party's `expectation interest.'"). Gerdin said M&A activity began to pick up at the end of 2021 and that is when Heartland began discussions with Pennsylvania-based Smith Transport. It includes the trucking terminal and 375,000 square feet of warehouse space that is leased to tenants. The team conducted a thorough process to identify the right buyer and negotiate terms that met the needs of the employee stakeholders involved. Plaintiff also asks for pre-judgment interest on the value of the service that Defendant was to perform. This is in the event of a sickness, surgery, injury (non-work related) or maternity leave extending past the unpaid 8-day waiting period. Plaintiff includes under each theory the money paid for additional attendants and third-party truck washing. Comment *document.getElementById("comment").setAttribute( "id", "a8a192acc9a55e4dc95a1d2f60f2ea6b" );document.getElementById("c6ae5b620f").setAttribute( "id", "comment" ); Save my name, email, and website in this browser for the next time I comment. 1 to 50 miles $.60 additional pay per mile. Smith was an S corporation for tax purposes, and the transaction included an election that results in tax deduction benefits over periods of one to 15 years. 10, pp. The burden to make this showing, however, remains Plaintiff's, and Smith has presented no argument on this point. Document No. Publicly traded Heartland Express has bought dry van truckload carrier Smith Transport Inc. and related entities. 4), was not represented at the hearing. In certain cases, however, where "recovery based on traditional notions of expectation damages is clouded because of the uncertainty in measuring the loss in value to the aggrieved contracting party," reliance damages can return the parties to the positions they enjoyed prior to contracting. During the pandemic, it was a barren wasteland for mergers and acquisitions, Heartland Chairman, President and CEO Michael Gerdin said.
Make your practice more effective and efficient with Casetexts legal research suite. No More Than 3 Tickets in the Last 3 Years. Could pay the employee up to $250 per week (pre-tax) for up to 26 weeks. Home Daily, Must live within 30 miles of Delmar, NY. Weld Div. LEXIS 21740, at *12 (E.D. 1985) ("[E]ven where the breach was not the failure to pay a fixed or ascertainable sum, still the buyer may be entitled to recover `compensation for delay.'" The timing of the Smith Transport deal and the sale of the warehouse was coincidental, according to Strain. . Heartland focuses on medium to short haul regional freight, offering shippers industry-leading on-time service so they can achieve their strategic goals for their customers. You're a power user moving through this website with super-human speed. See also Penneys v. Pennsylvania R. Co., 183 A.2d 544, 546 (Pa. 1962) (following 337). 9-10. The modern fleet is not expected to require any out of cycle investment, Heartland Express reported in the news release. Corp., 785 A.2d 491, 497 (Pa. 2000) (citing 347 for the proposition that "contract damages normally are based on party's expectation interest and put the injured party in a position as if the breaching party had performed as required."). Heartland earned $16.8 million in the first quarter, or 21 cents per share, up 25.3% from the first quarter of 2021. For information on how to unsubscribe, as well as our privacy practices and commitment to protecting your privacy, please review our, Heartland acquires dry van truckload carrier Smith Transport. In addition, it reported having a debt-free balance sheet. I look forward to being part of the team to ensure a smooth transition., Todd Smith, Smiths President, commented, As an employee-owned company, our goal was to find the best value and the best home for our people for years to come. . Barry Smith, Smiths Founder and Chairman Emeritus, added, Building Smith Transport has been my lifes work, and I could not have found a better home than Heartland for the Smith family. Lawmakers in four states are working to address who can travel in the left-lane of multi-lane highways, all trying to tighten the rules. Pennsylvania. Where the Court need not award mandatory prejudgment interest under Black Gold, however, Pennsylvania law allows for the recovery of discretionary interest. Smith Transport, Inc. v. Truck Bus Wash, Inc. CIVIL ACTION NO.
However, that quote apparently does not include the $11,700 worth of equipment that Niagara proposes to salvage from the truck wash that Defendant installed. You are eligible to enroll in the 401(k) plan on the first of the month following your 6 months of employment. (citations omitted)). He covered metals before joining Platts and then spent a year running Platts metals business as well. Such damages will also have a less severe effect on a Defendant who has been almost entirely absent from this litigation. Document No. They offer us long-term stability and the opportunity to grow as part of an industry leader, while retaining our own culture and identity. Heartland Express Inc. is an irregular route truckload carrier that focuses on medium to short haul regional freight. Such damages are typically measured "by the losses caused and gains prevented by defendant's breach, to the extent they are in excess of any savings made possible by nonperformance." Citing the Pennsylvania Supreme Court's adoption of the Restatement of Contracts, Smith argues that. After 15 years on the road I wanted to help people understand the trucking industry and everything that came with the career and lifestyle of an over the road trucker. a basis for the assessment of damages." ATACS, 155 F.3d at 669. Shortly after installation, the System failed to perform at the levels expected or warrantied and Defendant's attempts to cure the defect were unsuccessful. Heartland has terminals in Arizona, California, Colorado, Florida, Georgia, Idaho, Illinois, Iowa, Mississippi, Ohio, Oregon, Pennsylvania, Tennessee, Texas, Virginia and Washington. The calculation of damages in this case is not clouded by any great degree of uncertainty. Plaintiff is an interstate motor carrier that operates several hundred tractor-trailers, which it must maintain in a certain condition to ensure appropriate safety levels and full compliance with state and federal laws. No more waiting on quarterly bonuses. Co. v. Johnston Harder, Inc., 22 A.2d 709, 714 (Pa. 1941). slide . (quoting Krain Outdoor Displays, Inc. v. Tenn. Cont'l Corp., No. 101- 200 miles $.12 additional pay per mile. But in the telephone call with FreightWaves, Gerdin and CFO Chris Strain said the cash outlay from Heartland was about $155 million, with the $170 million enterprise value put on Smith Transport being a function of both debt and cash Smith held as well as a separate real estate transaction valued at $14 million. 25, 2007). While operating his own unit, Mr. Smith also managed a fleet of five trucks for his father. He was awarded the International Association of Energy Economics Award for Excellence in Written Journalism in 2015. ButcherJoseph is headquartered in St. Louis with a presence in Washington, DC and offices in Chicago, Charlotte, Scottsdale, and Nashville. At Smith Transport, our core values of teamwork, integrity, innovative solutions, accountability, and family speak volumes about who we are. Id. Theyre more than just words--to us, theyre a way of life. Choosing a selection results in a full page refresh. We wanted somebody with decent size, he said. Press the space key then arrow keys to make a selection. 10-2, pp. See also Restatement (Second) of Contracts 347 cmt. - Valued Customer, 153 Smith Transport Rd, Roaring Spring PA 16673. LEXIS 33151, at **7-8 (E.D. Morgan, Lewis & Bockius LLPserved as transaction counsel andMcGuireWoodsserved as special counsel to Smith. ), Better pay along doesnt retain drivers, Heartland finds, Highly profitable Heartland draws concerns about its revenue from Barclays, C.R. Use left/right arrows to navigate the slideshow or swipe left/right if using a mobile device. 10, p. 7. Barry also began to learn the planning, organizing, directing, and controlling a fleet of trucks. The Roaring Spring property was acquired from its owners in a separate transaction for $14 million in cash. The total damages to which Plaintiff is entitled is therefore $286,423.64.
Document No. In the announcement of the Smith Transport deal, Heartland said the company had approximately 850 tractors and 2,000 dry van trailers. Id. Such damages seek to "to place the aggrieved in as good a position as would have occurred had the contract been performed," ATACS Corp. v. Trans World Commc'ns., 155 F.3d 659, 669 (3d Cir. 9). All Rights Reserved. Prior to May 13, 2005, Smith washed its tractor-trailers at an on-site truck wash using six wash-bay attendants. Founded in 1982, Smith primarily provides dry van transportation and other specialized services in the eastern United States.
John has an almost 40-year career covering commodities, most of the time at S&P Global Platts. About Heartland ExpressHeartland Express, Inc. is an irregular route truckload carrier based in North Liberty, Iowa, serving customers with shipping lanes throughout the United States. What role can driver-facing cameras play in reducing litigation against truckers and carriers? Pa. June 25, 2001) (finding that the "`the mere fact [a plaintiff has] the use of the money rightfully paid it under the terms of the contract does not indicate that it was unjustly enriched.'" This amount represents the damages necessary to give Plaintiff what it bargained for: a fully functioning truck wash financed at a cost of $265,985.28. Vanalt Elec. Heartland has been recognized 18 times by Forbes Magazine as one of the Top 200 Best Small Companies in America, 17 times as one of the Best Truckload Carriers in America by Logistics Management Magazine, and as one of Americas Most Trusted Companies by Newsweek Magazine in 2022. The application only takes one minute. Heartland Express has returned to the acquisition market with the purchase of a dry van truckload company, Smith Transport. We, the employees of Smith Transport, are totally committed not only to meeting but exceeding customer requirements. Id. Platinum Award for 99.99% On-time Service, Left lane rules on the front burner in four states, Annual Road Warrior contest makes history with $30K in prizes, MembersEdge load posts fell 16% last week; load-to-truck ratios declined, Research group seeks input from truckers on driver-facing cameras, New diesel fuels, tech cut emissions faster than electric trucks, study says, Factoring case an example of what can go wrong. FedEx Express awarded Heartland Express a Platinum Award for 99.99% On-time Service and Core Carrier of the Year, Heartland announced in August. Your email address will not be published. With this experience in hand, Mr. Smith set out on a new entrepreneurial endeavor by purchasing and refurbishing long-haul tractors. 
Your benefits (Life/Accidental Death & Dismemberment Insurance, Short Term Disability, Medical/Prescription, Dental & Vision) will become effective the first of the month following your 90th day of employment. Learn more and apply here: TruckingTruth was founded by Brett Aquila (that's me! North Liberty, Iowa-based Heartland reported in a news release that it had acquired 100% of the equity of Smith and related companies for a cash-free, debt-free enterprise value of about $170 million. According to a financing agreement with Siemens Financial Services, Inc. (hereinafter "Siemens"), Smith was to pay $7,3873.73 per month for thirty-six months, a total of $265,985.28. ATACS, 155 F.3d at 669 (citation omitted). at 699. 3:06-160 (W.D. Smith does not offer tuition reimbursement. Black Gold, 730 F.2d at 944-45 (declining to award prejudgment interest where plaintiff offered no evidence to carry their burden); Peterson v. Crown Fin. Smith's losses also include the amount it will cost to replace the System with a similar washing mechanism from Niagara. The factual information recounted in this Memorandum Opinion is taken from Plaintiff's Complaint and the Pre-hearing Brief on Damages; Defendant has made no filings. . Total prizes this year top all previous years. In 1977 Joe passed away, just a year before Smith Trucking obtained its own authority and began hauling boxed meat and general commodities in 48 states. Thats our promise to you. The court could not consider plaintiff's damages, which a jury had calculated to be $316,000, to represent a definite sum upon which interest could be calculated, in part because, "[w]hile the furnace unquestionably did not conform to the contract (as the jury so found), its use was without doubt of considerable benefit to plaintiff." ButcherJoseph & Co. ST. LOUIS, June 08, 2022 (GLOBE NEWSWIRE) --. ATACS, 155 F.3d at 669. horse trailer race antique history horses trucks trailers transportation truck transport bit fascinating facts van wheeler luxurious stable way semi It certainly adds to the density of what weve already got out there, he added. It has been publicly traded since 1986. The acquisition price is slightly below the $187 million in cash that Heartland (NASDAQ: HTLD) had on its books at the end of the first quarter. ATACS, 155 F.3d at 669 (citation omitted). You will become eligible to participate in the plan the first of the month following your 6 months of employment with the company.
Our Story. "Pennsylvania courts will look to traditional principles of equity, such as unjust enrichment or forfeiture, in considering the propriety of restitution damages." Your email address will not be published. No More Than 1 Preventable Accident in the Last Year. Gerdin said Heartland still has more freight than we can haul. Alternatively, Plaintiff asks for reliance or restitution damages. Have at least 1 - Year Recent OTR Experience.
Smith does not allow anyone to ride along. . (citations omitted). Heartland, in its SEC filing, said it had entered into a two-year lease agreement to continue using the facility. Smith contends that the value of TBW's performance was set by the contract price of $229,861.00 and cites the legal interest rate of 6% set forth in 41 PA. C.S. 
Pennsylvania. Youll be able to earn more money in the monthly bonus program. According to the Restatement, "If the breach consists of a failure to pay a definite sum in money or to render a performance with fixed or ascertainable monetary value, interest is recoverable from the time for performance on the amount due less all deductions to which the party in breach is entitled." While the System was probably not of considerable benefit to Smith, there is no evidence that it has completely failed to perform, and partial operation in this case frustrates the measure of damages just as it did in Hussey. Though the System was covered by a one-year warranty, which included the cost of necessary services, TBW eventually failed to even respond to Plaintiff's inquiries. The Smith companies will continue to operate from Roaring Spring under the leadership of Todd Smith, president, with ongoing support from founder Barry Smith. The FREIGHTWAVES TOP 500 For-Hire Carriers list includes C.R. AdvisorsScudder Law Firm, P.C., L.L.O.
We couldnt be happier with the outcome and look forward to the continued growth and future success of both Smith and Heartland.. Smith first calculates its expectation interest, or, in other words, its interest in having the benefit of the agreement with Defendant. a (1981) ("Contract damages are ordinarily based on the injured party's expectation interest. The deal also includes a five-year renewable option. We are totally driven and seek continuous improvement in everything we do. appoints lindy keilar jarvis pascoe maree We've all wondered if the adventure and challenges of life on the open road would suit us better than the ordinary day to day lives we've always known. at 7-8. Check back soon to see their comments. Air Filter Co. v. McNichol, 527 F.2d 1297, 199 (3d Cir. One research institute is looking for the answer that question. We'll help you make the right choices and prepare for a great start to your trucking career. It also reported operating revenue of $151.3 million and operating income of $22.4 million, a 22.5% increase from 2021.