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Charter Contracting Co. LLC v. Orange & Rockland Utils. Inc.

Utilities' Breach of Gas Plant Site's Remediation Contract Not Plausibly Alleged

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OPINION AND ORDER Plaintiff Charter Contracting Company, LLC (“Charter”), brings this action against Orange & Rockland Utilities, Inc., and Consolidated Edison Company of New York, Inc., alleging breach of contract and breach of the implied covenant of good faith and fair dealing. Now pending is defendants’ motion to dismiss the first amended complaint (“FAC”) pursuant to Rule 12(b)(6). (Doc. #11). For the reasons set forth below, the motion is GRANTED.1 The Court has subject matter jurisdiction pursuant to 28 U.S.C. §1332. BACKGROUND For the purpose of ruling on the motion to dismiss, the Court accepts as true all well-pleaded factual allegations in the first amended complaint and draws all reasonable inferences in plaintiff’s favor, as set forth below. Charter allegedly entered into a contract with defendants wherein Charter agreed to perform environmental remediation of a defunct “manufactured gas plant” in Haverstraw, New York. (Doc. #24 (“FAC”)

8-10). Specifically, Charter was required to design and install excavation support systems, and to excavate contaminated soil and material from the site and transport it to specified disposal facilities. Charter alleges it agreed to perform all work involved with remediating the site in exchange for a set fee. Charter further alleges that, in response to unanticipated difficulties caused by subsurface obstructions, defendants approved one modification to the Contract to compensate Charter for costs related to those obstructions. Charter claims defendants breached the Contract by: (i) providing defective and false representations regarding the condition of the site (FAC

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