HCE Pepperell, Inc. v. Energy Management, Inc.

BACKGROUND

Cross-motions for summary judgment on defendants’ counterclaims have been submitted to the Court on an agreed statement of facts, for the Court’s findings, rulings and judgment, which are set forth below.

The dispute arises out of the construction of a co-generation plant in Pepperell, Mass. for the purpose of producing and selling electricity and steam. As part of Energy Management, Inc.’s (“EMI”) sale of a business to plaintiffs,3 the purchasers agreed that once the plant went into operation, plaintiffs would make quarterly payments to EMI under a Royalty Agreement and a…