Landlord, packaging firm argue over stench left by Jeannette hemp drying operation

Herzl Real Estate should not be held liable for damages a Jeannette packaging company claims were the result of odors from a hemp drying outfit just because it leased space to both groups, attorney Derek Mayhugh argued Tuesday.

Herzl Real Estate was “merely the landlord” and not responsible for the odors related to Patriot Shield Pennsylvania’s work at the Thomas Avenue warehouse last year, he said.

FC Meyer Packaging is seeking thousands of dollars in damages after its recycled paperboard items, stored in the same warehouse at Patriot Shield’s hemp drying operations, were contaminated. The lawsuit was filed in February against Patriot Shield and Herzl Real Estate.

During preliminary objections Tuesday, attorneys argued by phone.

FC Meyer leased commercial storage space from Herzl Real Estate in December 2018 at the warehouse. In April 2019, Patriot Shield Pennsylvania set up their operation to dry hemp from farmers into smokable hemp flowers, which taste like marijuana but lack the THC necessary to get users high. Odor complaints started pouring into city offices in September 2019 and the months after from residents and FC Meyer.

Patriot Shield eventually was shut down by city officials and the state Department of Environmental Protection. Patriot Shield did not get an occupancy permit from Jeannette before starting work and violated air quality rules, according to city and state officials.

It does not appear the company is using the warehouse for hemp drying this year.

Lawrence Kerr, attorney for FC Meyer, said Herzl Real Estate knew that hemp processing would create a strong odor and the company failed to address the issue.

“Herzl could’ve evicted Patriot Shield,” Kerr argued.

Instead, the company subjected FC Meyer employees and packaging items to the odors associated with drying hemp, he said.

“That’s not normal,” Kerr said. “That’s not like normal dust outside.”

He asked Judge Rita Donovan Hathaway to deny Herzl Real Estate’s preliminary objections and allow the parties to continue with the case. Hathaway said she will take the matter under advisement and issue a decision later.

Herzl Real Estate is an Israeli-American company that bought the property for nearly $1.5 million in 2017.

Patriot Shield was fined by DEP and workers have said the company never paid them for work last year. The state Department of Labor and Industry’s Bureau of Labor Law Compliance performed an audit of the company, according to a letter obtained by the Trib.