R.J. Corman Sues to Block Luzerne County Rail Sale
R.J. Corman Railroad Co. filed a federal lawsuit to stop Luzerne County from selling a rail line to Reading and Northern Railroad.
The R.J. Corman Railroad Co. filed a federal lawsuit on October 2, 2026, seeking an emergency injunction to block the sale of the Luzerne & Susquehanna rail line to Reading and Northern Railroad. R.J. Corman, which has leased the 27-mile line since 2020, alleges that Luzerne County violated the state Sunshine Act and competitive bidding laws by making decisions outside of public meetings.
The lawsuit characterizes the selection of Reading and Northern as a "collusive, fraudulent, anti-transparent, and unlawful effort by the county to force a sale." R.J. Corman claims its $8.2 million bid was superior to the $10 million package offered by Reading and Northern, which consisted of a $7 million purchase price and a $3 million promise for improvements. The company also seeks to protect its ownership of track located in the Grimes Industrial Park.
The dispute follows a conflicting sequence of government actions. The Redevelopment Authority of Luzerne County initially voted to sell the assets to R.J. Corman, but the Luzerne County Council vetoed that decision before eventually approving the deal with Reading and Northern. Defendants in the suit include the county, its council, the Redevelopment Authority, and Reading and Northern Railroad. County Manager Romilda Crocamo declined to comment on the pending litigation.
