Chau v. Takee Outee of Bourbon, Inc.

707 So. 2d 495, 1998 La. App. LEXIS 203, 1998 WL 56654
CourtLouisiana Court of Appeal
DecidedFebruary 11, 1998
Docket97-CA-1166
StatusPublished
Cited by12 cases

This text of 707 So. 2d 495 (Chau v. Takee Outee of Bourbon, Inc.) 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
Chau v. Takee Outee of Bourbon, Inc., 707 So. 2d 495, 1998 La. App. LEXIS 203, 1998 WL 56654 (La. Ct. App. 1998).

Opinion

707 So.2d 495 (1998)

Kanetha CHAU, etc.
v.
TAKEE OUTEE OF BOURBON, INC.

No. 97-CA-1166.

Court of Appeal of Louisiana, Fourth Circuit.

February 11, 1998.

*496 Morton H. Katz, Herman, Herman, Katz & Cotlar, New Orleans, and Michael J. Bourquard, New Orleans, for Plaintiff/Appellant Kanetha Chau.

Guy W. Smith, Denise C. Puente, George J. Rizzo, Simon, Peragine, Smith & Redfearn, New Orleans, for Defendant/Appellee Nancy D'Albora Zuker.

Before ARMSTRONG, PLOTKIN and WALTZER, JJ.

ARMSTRONG, Judge.

This is a premises liability personal injury case. The plaintiff-appellant was injured on the job when a portion of a building's ceiling collapsed onto her. She sued several parties including the appellee. The appellee was a co-owner of the building and the building was leased to the plaintiff's employer. The appellee was dismissed from the case, upon a motion for summary judgment, based upon La. R.S. 9:3221 and a clause in the lease which shifted responsibility for the condition of the building to the lessee. The key issue in this appeal is whether the appellee "should have known" of the alleged defect in the building. We find that there is no genuine issue of material fact as to this issue and that the appellee, who was an absentee co-owner and not at all involved in the management of the building, should not have known of the alleged defect in the building. Thus, we affirm the judgment of the trial court.

The plaintiff-appellant, Kenetha Chau, was employed by the 511 Bourbon Street Corporation at its place of business at 511 Bourbon Street in New Orleans. She allegedly was injured at work when a portion of the ceiling collapsed onto her. Ms. Chau alleges that the ceiling collapsed onto her because of a defect in the ceiling. At the time of the accident, the building was co-owned 50% by Takee Outee of Bourbon, Inc. and 50% by appellee Nancy Zuker and was leased to Ms. Chau's employer, 511 Bourbon Street Corporation. The lease provided, in pertinent part:

Lessee assumes responsibility for the condition of the premises and Lessor will not be responsible for any damage caused by leaks in the roof, by bursting of pipes by freezing or otherwise, or by any vices or defects in the leased property, or the consequences thereof, except in the case of positive neglect or failure to take action toward remedying of such defects within a reasonable time after having received written notice from Lessee of such defects and the damage caused thereby. Should Lessee fail to promptly so notify Lessor, in writing of such defects, Lessee will become responsible for any damage resulting to Lessor or other parties.

Ms. Chau sued Ms. Zuker as co-owner of the building as well as suing Takee-Outee and others.

Ms. Zuker, after being deposed, moved for summary judgment based upon the above-quoted lease clause and La. R.S. 9:3221 which states in its entirety:

The owner of premises leased under a contract whereby the lessee assumes responsibility for their condition is not liable for injury caused by any defect therein to the lessee or anyone on the premises who derives his right to be thereon from the lessee, unless the owner knew or should have known of the defect or had received notice thereof and failed to remedy it within a reasonable time.

Ms. Zuker argues that the statute allows an owner of a property, such as herself as co-owner of the building in question, to shift to the lessee responsibility for damages caused by defects in the property and that the lease in this case did so. Thus, Ms. Zucker argues, she is not responsible to Ms. Chau for her alleged injuries even if there was a defect in the building co-owned by Ms. Zuker.[1]

*497 For the most part, Ms. Zuker's legal position is amply supported by the caselaw. See generally, e.g., Stelly v. Overhead Door Co. of B. R., 94-0569 (La.12/8/94), 646 So.2d 905, 913; Muse v. Katz, 93-1066 (La.App. 4 Cir. 2/11/94), 632 So.2d 846 (collecting cases). However, as Ms. Chau points out, the statute does not allow the owner to escape liability for defects in the property if "the owner knew or should have known of the defect or had received notice thereof and failed to remedy it within a reasonable time." La. R.S. 9:3221. Ms. Chau does not argue that Ms. Zuker actually knew of the alleged defect in the building or that Ms. Zuker had received actual notice of the alleged defect in the building, and it is apparent from Ms. Zuker's uncontradicted deposition testimony that she did not have any such actual knowledge and that she did not receive any such actual notice. But, Ms. Chau argues that, as the alleged defect had allegedly existed for several years, Ms. Zuker "should have known" of the alleged defect.

Thus, the key issue in this appeal is whether Ms. Zuker should have known of the alleged defect in the building. Of course, summary judgment should have been granted as to this issue only if there is no genuine issue of material fact as to it. La.Code Civ. Proc. art. 966, as amended by 1997 Acts 483. In the present case, we need not concern ourselves with the allocations of proof under the amendments to Article 966 because the deposition testimony of Ms. Zuker, the mover, provides clearcut and uncontradicted evidence as to the factual circumstances relevant to whether she should have known of the defect. Ms. Zuker testified by deposition that, in 1967, she married and moved from New Orleans to New York. She subsequently has moved to California but has not lived in New Orleans since 1967. In 1967, the building in question was owned by Ms. Zuker's father. Ms. Zuker inherited the building from her father in 1980. At that time, she sold a 50% interest in the building (in two sales at 25% each) to Takee-Outee of Bourbon, Inc. The contract for sale also provided that Takee-Outee would be responsible for payment of all costs and expenses of the building such as taxes, utilities, sewerage, street surfacing and maintenance, and that Takee-Outee would be entitled to receive all income derived from the building whether from rentals or otherwise. Ms. Zuker testified that she did not know what was going on day to day with respect to the building, that Takee-Outee had control of the premises and that she was not familiar with leases of the building because such leases would have been made by Takee-Outee. She testified that she did not make any inspections of the building and that, in fact, she never went to the property. At the time of her deposition, Ms. Zuker had not seen the building in so many years that she could not remember whether the front was brick or stucco.

Certainly, all of the circumstances suggest that Ms. Zuker would not have had occasion to learn of any defects in the building. The real issue is whether Ms. Zuker should have made any inspections, or engaged someone to make inspections, as to the safety of the building. In terms of statutory interpretation, does the phrase "should have known" in the statute imply that the owner must take active steps, such as inspections, to determine whether there are defects in the property? In a number of cases, we have held that summary judgment affidavits which stated only that owners did not actually know of defects and had not received actual notice of defects, and which affidavits did not address whether the owners "should have known" of the defects, were inadequate to properly support summary judgment motions based upon La. R.S. 9:3221. See, e.g., Ford v. Bienvenu, 95-1675 (La.App. 4th Cir. 4/24/96), 673 So.2d 1198 (collecting cases).

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Bluebook (online)
707 So. 2d 495, 1998 La. App. LEXIS 203, 1998 WL 56654, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chau-v-takee-outee-of-bourbon-inc-lactapp-1998.