SourceOne, Inc. (DE), et al v. ESI, Inc. of Tennessee, et al, No. 3:2019cv00907 - Document 54 (E.D. Va. 2020)

Court Description: OPINION. Signed by District Judge John A. Gibney, Jr. on 7/27/2020. (jsmi, )

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SourceOne, Inc. (DE), et al v. ESI, Inc. of Tennessee, et al Doc. 54 Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 1 of 8 PageID# 385 IN THE UNITED STATES DISTRICT COURT FOR THE EASTERN DISTRICT OF VIRGINIA Richmond Division SOURCEONE,INC.(DE), et al. Plaintiffs, Civil Action No. 3:19-cv-907 ESI, INC. OF TENNESSEE,et al.. Defendants. OPINION This case involves several contracts related to upgrading a manufacturing facility in Richmond, Virginia. E.I. du Font de Nemours and Company ("DuPont") contracted with Veolia Energy Operating Services LLC ("Veolia") to upgrade the utilities infrastructure at DuPont's industrial plant. This included upgrading the cogeneration plant's burners. Veolia entered into a contract with SourceOne, Inc.(DE)("SourceOne"), to implement the bumer upgrades, which, in turn, contracted with ESI, Inc. of Tennessee ("ESI"), to perform engineering services. Veolia and SourceOne have sued ESI and John Zink Company, LLC ("John Zink"), alleging that faulty equipment cost them millions of dollars on the burner upgrade project. Relevant here, SourceOne has asserted three claims against ESI: (1) breach of the engineering agreements (Count One), (2) breach of warranty (Count Two), and (3) contractual indemnity (Count Three). Veolia has asserted two claims against ESI:(I) negligent misrepresentation (Count Five) and (2)contractual indemnity as a third-party beneficiary(Count Six). ESI has moved to dismiss Counts Two, Three, Five, and Six pursuant to Federal Rule of Civil Procedure 12(b)(6). Because the plaintiffs have failed to state a claim for negligent misrepresentation, the Court will grant ESTs motion to dismiss Count Five. In all other respects, the Court will deny the motion. Dockets.Justia.com Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 2 of 8 PageID# 386 Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 3 of 8 PageID# 387 Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 4 of 8 PageID# 388 Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 5 of 8 PageID# 389 Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 6 of 8 PageID# 390 Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 7 of 8 PageID# 391 Case 3:19-cv-00907-JAG Document 54 Filed 07/27/20 Page 8 of 8 PageID# 392

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