TRECOM SYSTEMS GROUP, INC. v. MJ FREEWAY, LLC

United States District Court for the Eastern District of Pennsylvania · April 29, 2025 · No. 2:21-cv-01575-JDW

Summary

This memorandum opinion from the U.S. District Court for the Eastern District of Pennsylvania addresses post-trial motions filed by defendant MJ Freeway, LLC following a jury verdict in favor of plaintiff TreCom Systems Group, Inc. for breach of contract. The court denies the motion for judgment as a matter of law and new trial, finding sufficient evidence supported the jury’s determination that an Appendix N Subcontract governed the parties’ relationship and justified the $4.2 million damages award. The court also calculates and awards prejudgment and postjudgment interest according to Pennsylvania law and federal statute.

Court
United States District Court for the Eastern District of Pennsylvania
Writing for the Court
JOSHUA D. WOLSON
Jurisdiction
United States District Court for the Eastern District of Pennsylvania
Decision date
April 29, 2025
Docket number
2:21-cv-01575-JDW
Procedural posture
Post‑trial motion for judgment as a matter of law and new trial denied; judgment entered affirming the jury verdict.
Standard of review
De novo for legal issues; clear error for factual findings.
Precedential value
non‑precedential
Disposition
affirmed

Topics

contract interpretationcontract formationdamagessummary judgmentcivil procedure

Practice areas

commercial litigation

Questions Presented

  1. Whether the evidence was sufficient to support the jury’s finding that the Appendix N Subcontract governed the parties’ relationship.
  2. Whether the jury’s $4.2 million compensatory damages award was supported by the evidence.
  3. Whether prejudgment interest is available despite the limitation‑of‑liability provision.
  4. Whether the limitation‑of‑liability clause caps TreCom’s recovery at 35.09 % of MJ Freeway’s revenue.

Holdings

  1. The evidence was sufficient; the jury’s verdict is affirmed.
  2. The jury’s award is supported by the evidence and is affirmed.
  3. Prejudgment interest is available and awarded in the amount of $320,599.21.
  4. The limitation clause caps liability at 35.09 % of MJ Freeway’s revenue; it does not limit the amount of prejudgment interest.

Key quotations

When a court directs a verdict, it must also decide whether a new trial is warranted.
Prejudgment interest under Pennsylvania law is available as a matter of right. If the Parties wanted to limit it, they needed to do so expressly.

Factual background

TreCom and MJ Freeway entered a May 4, 2017 subcontract that was later superseded by an “Appendix N” subcontract. MJ Freeway terminated the May 4 subcontract in August 2020 and the parties performed under the Appendix N contract. At trial, the jury found that the Appendix N subcontract governed the relationship and awarded TreCom $4.2 million in damages.

Procedural history

The parties tried a six‑day jury trial. The jury returned a verdict for TreCom Systems Group, Inc. awarding $4.2 million in compensatory damages. MJ Freeway filed post‑trial motions for judgment as a matter of law and a new trial. The court denied the motions, entered judgment affirming the verdict, and awarded prejudgment and post‑judgment interest.

Court Document

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