Cabibi and Cabibi v. Hatheway

570 So. 2d 104, 1990 WL 164193
CourtLouisiana Court of Appeal
DecidedOctober 30, 1990
Docket90-CA-0235
StatusPublished
Cited by7 cases

This text of 570 So. 2d 104 (Cabibi and Cabibi v. Hatheway) 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
Cabibi and Cabibi v. Hatheway, 570 So. 2d 104, 1990 WL 164193 (La. Ct. App. 1990).

Opinion

570 So.2d 104 (1990)

CABIBI AND CABIBI, a Professional Law Corporation
v.
Billy Jean Bertucci, divorced wife of/and Theodore M. HATHEWAY.

No. 90-CA-0235.

Court of Appeal of Louisiana, Fourth Circuit.

October 30, 1990.
Writ Denied January 11, 1991.

*106 James Burnett Aime, New Orleans, for defendant/appellant Billy Jean Bertucci Hatheway.

Charles E. Cabibi, Henrik A. Pontoppidan, Cabibi and Cabibi, New Orleans, for plaintiff/appellee.

Before BYRNES, LOBRANO and WILLIAMS, JJ.

LOBRANO, Judge.

This case comes before us as a consolidated appeal from two judgments in favor of plaintiff-appellee, Cabibi and Cabibi, A Professional Law Corporation (Cabibi) and against defendant-appellant, Billy Jean Bertucci Hatheway (Bertucci).

On April 18, 1989, the trial court granted Cabibi's Motion for Summary Judgment concluding that the obligation for attorney fees was a community obligation.

On June 23, 1989, the trial court dissolved the temporary restraining order previously granted to Bertucci, denied Bertucci's Rule For Preliminary Injunction and allowed Cabibi to proceed with the garnishment of funds in the First National Bank of Commerce belonging to Bertucci and her ex-husband, Theodore M. Hatheway (Hatheway). The garnishment proceedings were pursuant to a default judgment previously rendered against Hatheway for payment of the balance of attorney fees.

The chronology of events leading to this litigation is as follows:

December 14, 1981

Cabibi represented Bertucci and Hatheway, who were married at the time, in the acquisition (via act of sale) of two contiguous pieces of property located at 4900 Paris Avenue and 1555 Mirabeau Avenue, New Orleans, Louisiana. This purchase was for the operation of a Texaco Service Station/Auto repair business called Teddy's Service Center, Inc.

August or September, 1982

The Hatheways were notified by the New Orleans Sewerage and Water Board that their property had a serious subsurface gasoline and oil contamination problem. Various state, federal and local agencies were threatening to close Teddy's Service Center, Inc.

October 2, 1982

Cabibi was hired by Hatheway to protect the Hatheway rights. Hatheway signed a contingency fee contract. Bertucci did not sign the contract.

December 9, 1982

Cabibi filed suit on behalf of Hatheway against Dr. Edward A. John, the previous owner of the property. During the course of the litigation, Mobil Oil Corporation, which previously operated a service station on the property, was brought into the suit by Dr. John under warranty and by Hatheway in tort.[1]

July 16, 1985

Bertucci filed suit for separation and divorce against Hatheway. Attorney Cheryl B. Horton represented Bertucci. Attorney Henrik A. Pontoppidan, an associate of Cabibi represented Hatheway.

March 13, 1986

A judgment of divorce is granted Bertucci and Hatheway. During these proceedings, Pontoppidan withdrew as counsel for Hatheway. Attorney William J. O'Hara enrolled as counsel for Hatheway.

June, 1987

Attorney O'Hara and Attorney William Miles joined Pontoppidan and Cabibi in the litigation against Dr. John and Mobil.

December 11, 1987

Bertucci dismissed Horton as her attorney and retained James Aime. Aime intervened *107 on behalf of Bertucci in the suit against Dr. John and Mobil.

March, 1988

A compromise settlement is reached in the suit against Dr. John and Mobil for the sum of $600,000.00 representing $150,000.00 for Mobil to purchase the property from Hatheway and $450,000.00 for general damages. Bertucci, through counsel participated in the settlement and agreed to the amounts and conditions of the settlement.

April 6, 1988

Bertucci and Hatheway executed a document entitled "Receipt and Release", settling their claims against Dr. John and Mobil. On that day, both Bertucci and Hatheway signed an affidavit authorizing the disbursement of certain funds including $10,641.28 to Cabibi for reimbursement of costs advanced in the suit against Dr. John and Mobil and $120,000.00 in attorney fees. The affidavit stipulated the attorneys fees paid were from Hatheway's portion of the settlement, did not represent the entire fee and was not a waiver to collect the additional fees owed.

June 20, 1988

Bertucci conveyed her interest in the subject property to Mobil Oil in fulfillment of the settlement agreement. The proceeds from the settlement were placed in an escrow fund in First National Bank of Commerce under joint control of O'Hara, attorney for Hatheway in the domestic proceedings and Aime, attorney for Bertucci, pending the settlement of the community between them.
Following the settlement with Mobil, Bertucci refused to release $120,000.00, the balance of the attorney fees asserting that Cabibi's representation of Hatheway in both the Mobil suit and the domestic proceedings constituted a conflict of interest which compromised her interest in the Mobil suit.

August 22, 1988

Cabibi, fearing that the Internal Revenue Service and other creditors of the Hatheways would initiate collection proceedings, filed suit against Bertucci and Hatheway for the balance of the attorney fees. Both parties were served. Bertucci answered the suit. Hatheway failed to answer.

September 17, 1988

A default judgment was taken against Hatheway. This judgment was never appealed and became a final judgment.

December IS, 1988

In response to Bertucci's answer to the suit for attorney fees, Cabibi filed a Motion for Summary Judgment on the issue of whether or not the attorney fees were an obligation of the former community of acquets and gains of the Hatheways.

February 16, 1989

Bertucci filed a Motion to Transfer the suit for attorney fees to the domestic relations court to be combined with the suit to partition the community property. Said motion was denied the same day by Judge Max Tobias. Bertucci did not apply for supervisory writs.

February 17, 1989

The hearing on the motion for summary judgment was held. Following the hearing, the court ordered an additional evidentiary hearing for March 10, 1989 to review the reasonableness of the attorney fees.

March 3, 1989

Bertucci filed a second motion to transfer and consolidate the suit for attorney fees and the suit to partition the community.

March 6, 1989

Domestic relations Judge Robin Giarrusso signed the order transferring the suit.

*108 March 9, 1989

Judge Giarrusso rescinded her March 6, 1989 order to transfer upon learning that Judge Tobias had previously denied a similar motion, had already heard part of the case and issued a partial ruling. No supervisory writs were taken.

April 14, 1989

The evidentiary hearing, originally set for March 10, 1989, on the reasonableness of the attorney fees, was heard. The court found the fees to be legally justified. The court gave Cabibi thirty days within which to add Teddy's Service Center, Inc. as an indispensable party. The judgment was signed on April 18, 1989.

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Cite This Page — Counsel Stack

Bluebook (online)
570 So. 2d 104, 1990 WL 164193, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cabibi-and-cabibi-v-hatheway-lactapp-1990.