Campbell v. Louisiana Intrastate Gas Corp.

528 So. 2d 626, 100 Oil & Gas Rep. 54, 1988 La. App. LEXIS 1061, 1988 WL 43102
CourtLouisiana Court of Appeal
DecidedMay 4, 1988
Docket19557-CA
StatusPublished
Cited by7 cases

This text of 528 So. 2d 626 (Campbell v. Louisiana Intrastate Gas Corp.) 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
Campbell v. Louisiana Intrastate Gas Corp., 528 So. 2d 626, 100 Oil & Gas Rep. 54, 1988 La. App. LEXIS 1061, 1988 WL 43102 (La. Ct. App. 1988).

Opinion

528 So.2d 626 (1988)

Ira L. CAMPBELL, Sr., et ux., Plaintiffs-Appellees,
v.
LOUISIANA INTRASTATE GAS CORPORATION, Defendant-Appellant.

No. 19557-CA.

Court of Appeal of Louisiana, Second Circuit.

May 4, 1988.

*627 Gahagan & Gahagan by Russell E. Gahagan, Natchitoches, for defendant-appellant.

Donald G. Horton, Coushatta, for plaintiffs-appellees.

Before MARVIN, FRED W. JONES, Jr. and NORRIS, JJ.

MARVIN, Judge.

The defendant private utility appeals a judgment awarding damages to the landowners, whose land defendant entered in 1985 to rework a 60-year-old underground gas pipeline. The issues concern whether defendant had the right to enter the property over plaintiffs' protests of trespass and whether the award for the loss in crop productivity is excessive and subject to reduction because of the landowners' failure to mitigate their damages. We also consider defendant's exception of prescription, timely filed in this court. CCP Arts. 927, 2163.

We amend the judgment to reduce the damage award from $21,280 to $3,000.

FACTS

The gas pipeline extends between Natchitoches and Logansport through about one mile of Red River Parish farmland which plaintiffs Mr. and Mrs. Campbell acquired in 1943. The pipeline was apparently built in the late 1920's while Clarence Hollingsworth owned the land. Hollingsworth granted a right-of-way in 1926 to two individuals who sold their interest to Gulf Public Service Company in 1927. Gulf merged with Central Louisiana Electric Company in 1951. The defendant utility acquired CLECO's gas business and rights-of-way in a 1958 exchange.

While Hollingsworth owned the land, he mortgaged it to Prudential Insurance Company. The litigants do not dispute that this mortgage was recorded in the public records before Hollingsworth granted the pipeline right-of-way in 1926.[1]

Prudential foreclosed on the Hollingsworth mortgage and acquired the property by sheriff's deed in 1935. Prudential sold to Mr. and Mrs. Campbell in 1943.

Mr. Campbell knew the pipeline went across the property when he bought it. He later received royalties from the sale of gas marketed from wells on his property through this pipeline. He assumed there was a valid pipeline right-of-way until he was advised otherwise by his attorney in 1984. When defendant notified him in 1985 of proposed operations to repair the pipeline and bury it deeper in the ground, Campbell replied that defendant would have to negotiate a right-of-way agreement with him before entering the property. Defendant reworked the pipeline over Campbell's protests without such an agreement.

The Campbells sued, seeking removal of the pipeline and alternatively, damages for bad faith trespass and loss of productivity *628 of the farmland affected by the reworking operations.

The trial court found that plaintiffs acquired the land free of the 1926 conventional servitude because that servitude was primed by the 1925 mortgage and was extinguished by Prudential's foreclosure in 1935. Although the 1925 mortgage filed in evidence describes other property, defendant agrees and does not dispute that Prudential's 1935 foreclosure of property later sold to plaintiffs extinguished the conventional servitude. This conclusion is correct if Hollingsworth mortgaged this property to Prudential before he granted the servitude. CC Art. 721; CCP Art. 2372. We shall assume that Hollingsworth granted the servitude after the mortgage because defendant is not relying on the conventional servitude as the source of its right to enter the land in 1985.

Defendant contends that its right to use and maintain the pipeline after the foreclosure, and particularly in 1985, arises from the St. Julien Doctrine. This doctrine, now statutorily recognized, provides a method of acquiring utility servitudes without formal expropriation proceedings when a utility company has used private property in the public interest in good faith and with the landowner's consent or acquiescence for a period of time. LRS 19:14; St. Julien v. Morgan L. & T. R. Co., 35 La.Ann. 924 (1883).

The trial court declined to apply this doctrine, but paradoxically awarded plaintiffs $5,280 as the value of the land "expropriated or taken" for the pipeline because "the line nonetheless existed." The judgment also awarded plaintiffs $1,000 for defendant's entry on the property "at its own risk" over Campbell's protests, and $15,000 for the loss of farmland productivity.

On appeal, defendant re-urges the St. Julien Doctrine as the source of its right to use and maintain the pipeline and contends plaintiffs' claims for the "taking" and for property damage have prescribed under LRS 19:2.1B.

We find that defendant's entry on the property in 1985 was lawful and reverse the $1,000 trespass award. We reverse the $5,280 award for the value of the property "taken" under LRS 19:2.1B. The physical damage demand arising out of the reworking in 1985 has not prescribed under LRS 9:5624 and will be considered.

LAWFUL ENTRY

In St. Julien v. Morgan L. & T. R. Co., supra, the landowner claimed rent from the railroad which had built and operated a railway across plaintiff's land without purchasing or expropriating the property. The court found that the railroad had acquired a servitude for the railway by taking and using the property for a quasi-public work with the landowner's acquiescence. The landowner could not claim rent or trespass damages, nor demand removal or prevent use of the railway, but could claim compensation for the value of the property taken. 35 La.Ann. at 925-6.

Almost 100 years later, in Lake, Inc. v. Louisiana Power & Light Company, 330 So.2d 914 (La.1976), the court overruled St. Julien to the extent that it allowed discontinuous servitudes [those requiring an act of man to be exercised, such as electric transmission lines and natural gas pipelines] to be created by unopposed use and occupancy by a corporation with the power of expropriation. When Lake was decided, the Civil Code expressly provided that discontinuous servitudes, whether apparent or non-apparent, could be established only by title and not by possession, even if immemorial. Former CC Art. 766. The court in Lake disapproved of St. Julien because it circumvented this codal provision, while recognizing the longstanding reliance on the St. Julien Doctrine as a court-tested and approved method of acquiring servitudes. The Lake decision was made prospective only and affected conduct occurring after its finality. 330 So.2d at 918.

Within months of the Lake decision, the Legislature enacted LRS 19:14, which provides in part:

In the case where any corporation referred to in Section 2 of this Title has actually, in good faith believing it had the authority to do so, taken possession *629 of privately owned immovable property of another and constructed facilities upon, under or over such property with the consent or acquiescence of the owner of the property, it will be presumed that the owner of the property has waived his right to receive just compensation prior to the taking, and he shall be entitled only to bring an action for judicial determination of whether the taking was for a public and necessary purpose and for just compensation ... as of the time of the taking of the property, or right or interest therein ...

Among the corporations included in § 2 are corporations created for the piping and marketing of natural gas for the purpose of supplying the public. § 2(5).

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Young v. Marsh
153 So. 3d 1245 (Louisiana Court of Appeal, 2014)
Lonatro v. Orleans Levee District
809 F. Supp. 2d 512 (E.D. Louisiana, 2011)
FARMCO, INC. v. Morris
21 So. 3d 428 (Louisiana Court of Appeal, 2009)
Norton v. Claiborne Elec. Co-Op, Inc.
732 So. 2d 1256 (Louisiana Court of Appeal, 1999)
Sellers v. St. Charles Parish
655 So. 2d 367 (Louisiana Court of Appeal, 1995)
Bekins Van Lines v. Schaeffer
630 So. 2d 633 (District Court of Appeal of Florida, 1994)

Cite This Page — Counsel Stack

Bluebook (online)
528 So. 2d 626, 100 Oil & Gas Rep. 54, 1988 La. App. LEXIS 1061, 1988 WL 43102, Counsel Stack Legal Research, https://law.counselstack.com/opinion/campbell-v-louisiana-intrastate-gas-corp-lactapp-1988.