Ashy v. Trotter

888 So. 2d 344, 2004 WL 2536845
CourtLouisiana Court of Appeal
DecidedNovember 10, 2004
Docket2004-612
StatusPublished
Cited by11 cases

This text of 888 So. 2d 344 (Ashy v. Trotter) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ashy v. Trotter, 888 So. 2d 344, 2004 WL 2536845 (La. Ct. App. 2004).

Opinion

888 So.2d 344 (2004)

Charles B. ASHY, Sr.
v.
William E. TROTTER, II.

No. 2004-612.

Court of Appeal of Louisiana, Third Circuit.

November 10, 2004.
Rehearing Denied December 22, 2004.

*346 Hal James Broussard, Ped C. Kay, III, Leslie A. Venable, Broussard & Kay, Lafayette, LA, for Plaintiff/Appellee Charles B. Ashy, Sr.

John Daniel Rayburn, Jr., Lafayette, LA, for Plaintiff/Appellee Charles B. Ashy, Sr.

Alan K. Breaud, Michael Gerard Lemoine, Breaud & Lemoine, Lafayette, LA, for Defendant/Appellant William E. Trotter, II.

Court composed of ULYSSES GENE THIBODEAUX, Chief Judge, GLENN B. GREMILLION and ELIZABETH A. PICKETT, Judges.

GREMILLION, Judge.

In this case, the defendants-appellants, William E. Trotter, II and William E. Trotter, II Family LLC, appeal the jury's finding that it breached its contract with the plaintiff-appellee, Charles B. Ashy. For the following reasons, we affirm.

FACTUAL AND PROCEDURAL BACKGROUND

This case revolves around the ownership and sale of the Evangeline Downs race track located in Lafayette, Louisiana. Ashy and Trotter have a long business *347 relationship dating back to 1968. Trotter and his business partner, Braxton I. Moody, III, first purchased the track in the late 1960's, which they sold in 1982. Trotter and Moody reacquired the track in early 1995, through their corporation, Old Evangeline Downs, Inc. (OED).

In 1995, Moody solicited Ashy to provide his services in connection with the operation and development of Evangeline Downs. Ashy continued operating the track through 1997, and claimed to have obtained an agreement with Trotter, documented in a January 10, 1998 letter, authorizing Ashy to receive 5% of the net sales price of the track in the event it was sold. In his petition, Ashy claimed that Trotter was in a business arrangement with Moody, in whom he had vested authority to act on his behalf and on behalf of their jointly owned entities and ventures.

In April 2002, significant ownership interests in Evangeline Downs was transferred to Peninsula Gaming, Inc. However, Trotter never paid Ashy his 5% interest as agreed to in the January 1998 letter. Ashy, thereafter, filed suit to recover his 5% interest.

In August 2003, Trotter filed a motion for summary judgment urging that there was no genuine issue of material fact that a contract did not exist between him or Trotter Family LLC and Ashy. The motion was denied and Trotter applied for a supervisory writ to this court, which was also denied. Following a trial on the merits, the jury concluded that Ashy met his burden of proving that Trotter agreed to pay him 5% from the net sale of Evangeline Downs and awarded him $750,000 for breach of contract. The jury found Trotter and Trotter Family LLC responsible for the amounts awarded. A judgment was rendered casting Trotter and Trotter Family LLC liable in solido to Ashy for $750,000, in addition to legal interest from the date of judicial demand. Trotter and Ashy now appeal.

ISSUES

Trotter assigns as error the jury's finding that Ashy met his burden of proving that a contract existed between the two wherein Trotter would pay Ashy 5% of the net selling price of its interest in OED.

Ashy assigns as error:

1. The trial court's failure to accept Steven A. Molnair as an expert and allow his testimony on anticipated future slot revenues to be heard by the jury.
2. The trial court's failure to allow the jury to consider future slot revenues as a portion of the damages owed to Ashy based upon the information already in evidence and a discount rate chart.
3. The trial court's failure to award him 5% of Trotter's net selling price received from the building and property of Evangeline Downs.
4. The trial court's award of interest on the Judgment from date of judicial demand rather than from the date of the breach of contract.

LAW

Whether or not an oral contract has been confected between the parties is subject to the manifest error standard of review. See Peter Vicari Gen. Contractor, Inc. v. St. Pierre, 02-250 (La.App. 5 Cir. 10/16/02), 831 So.2d 296. Thus, pursuant to Rosell v. ESCO, 549 So.2d 840, 844 (La.1989):

The appellate review of fact is not completed by reading only so much of the record as will reveal a reasonable factual basis for the finding in the trial court, but if the trial court or jury findings are reasonable in light of the record reviewed *348 in its entirety, the court of appeal may not reverse even though convinced that had it been sitting as the trier of fact, it would have weighed the evidence differently.

Though an appellate court may feel its own evaluations and inferences are more reasonable than the factfinder's, reasonable inferences of fact should not be disturbed upon review where conflict exists in the testimony. Id. Where two permissible views of the evidence exist, the factfinder's choice between them cannot be manifestly erroneous or clearly wrong. Stobart v. State Through DOTD, 617 So.2d 880, 883 (La.1993). "The issue to be resolved by a reviewing court is not whether the trier of fact was right or wrong, but whether the factfinder's conclusion was a reasonable one." Id. at 882.

Trotter argues that Moody had no actual or apparent authority to bind "the personal assets of Trotter L.L.C.," including its membership interests in Evangeline Downs. He argues that no oral contract existed, that Moody did not have the authority to bind him, and that as a matter of law pursuant to La.Civ.Code art.1947 and Carter v. Huber & Heard, Inc., 95-142 (La.App. 3 Cir. 5/31/95), 657 So.2d 409, writ denied, 95-1662 (La.10/16/95), 661 So.2d 471, no contract was formed due to the failure of the parties to execute a signed, written agreement as contemplated.

This case involves extensive testimonial and documentary evidence. At the heart of the matter is an unsigned January 10, 1998 document, which states:

Dear Charlie,
The following sets fourth [sic] our agreement with regard to your compensation package.
1. Salary for 1997 of $100,000 or 10% of pretax net income, adjusted for interest expense not to exceed interest on Banc One note and losses on Jam Fest except that bonus will not be less than $50,000.
2. Effective January 1, 1998 salary of $150,000 plus benefits or 10% of pretax net income whichever is greater. Pretax income is adjusted for actual interest expenses on bank loans not to exceed interest on Banc One notes and other such bank loans.
3. If at the time the slot parlor opens your salary will increase to $300,000 plus benefits or 5% of net income whichever is greater. Net Income is defined as total net income in accordance with generally accepted accounting principles. (Example, net income after taxes of $20 million @ 5% equals $1 million less $300,000 equals bonus of $700,000.)
4. If the company is sold or a strategic partner is brought in your [sic] would receive 5% of the net selling price. (Example, if the company is sold for $50 million, you would receive $2.5 million from which, at your sole discretion, you would give Paul and Charles, Jr. a bonus.) If a third interest is sold for $14 million, you would receive $700,000 and your pay package would be reduced by 1/3rd.

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Bluebook (online)
888 So. 2d 344, 2004 WL 2536845, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ashy-v-trotter-lactapp-2004.