Chenevert v. Lemoine

161 So. 2d 85
CourtLouisiana Court of Appeal
DecidedApril 17, 1964
Docket1040
StatusPublished
Cited by7 cases

This text of 161 So. 2d 85 (Chenevert v. Lemoine) 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
Chenevert v. Lemoine, 161 So. 2d 85 (La. Ct. App. 1964).

Opinion

161 So.2d 85 (1964)

Jules CHENEVERT, Plaintiff and Appellee,
v.
Peter J. LEMOINE, Defendant and Appellant.

No. 1040.

Court of Appeal of Louisiana, Third Circuit.

February 18, 1964.
Rehearing Denied March 11, 1964.
Writ Refused April 17, 1964.

*86 David I. Couvillion, Marksville, Henican, James & Cleveland, by Emile J. Dreuil, Jr., New Orleans, for defendant-appellant.

Roy & Roy, by Chris J. Roy, Marksville, for plaintiff-appellee.

Before SAVOY, TATE and HOOD, JJ.

HOOD, Judge.

This is an action for the balance alleged to be due on an unsecured promissory note. The suit was instituted by Jules Chenevert, the payee of the note, against Peter J. Lemoine, the maker. The plaintiff died after the suit was filed and his widow, Mrs. Thelma Plauche Chenevert, was thereupon substituted as party plaintiff, she having been recognized as the decedent's universal legatee.

Defendant resists plaintiff's demands on a number of grounds, the principal ones being failure of consideration and payment. He also contends that he has overpaid the indebtedness represented by the note, and by *87 means of a reconventional demand and a third party action, he seeks to recover from plaintiff and from Bertrand Rabalais, third party defendant, the sum of $182.79, being the amount of the alleged overpayment.

After trial, judgment was rendered by the trial court in favor of plaintiff for the full amount of principal, interest and attorney's fees claimed. Judgment also was rendered rejecting defendant's reconventional demand and his claim under the third party action. Defendant has appealed.

The note upon which the suit is based is dated February 11, 1959, and is payable "On Demand." It is for the principal sum of $9,037.00 and it provides for interest from date and for attorney's fees if not paid when due. Notations on the back of the note show that the sum of $1,184.14 was paid on the note on March 10, 1960, and that $951.31 was paid on January 2, 1961. According to these notations the two payments were credited first to accrued interest and then to the principal due on the note, leaving a principal balance of $7,900.71 due on the date of the last payment. Judgment was rendered by the trial court in favor of plaintiff for this balance, with interest from January 2, 1961, and attorney's fees as provided in the note.

The parties to this suit agree that the note was executed by defendant Lemoine as evidence of the balance due by him on the purchase price of a grocery store, including the land, buildings, furniture, fixtures and stock of merchandise, which he had purchased a few weeks prior to the date of the note. At the time of that sale the title to the real property was vested in plaintiff's stepson, Bertrand Rabalais, whereas all of the furniture and fixtures and the stock of goods in the store were owned by plaintiff Chenevert.

On November 26, 1958, Rabalais and Lemoine entered into a written contract, under the terms of which Rabalais agreed to sell to Lemoine the land, with all of the buildings and improvements on such land, where the store was located. In this agreement Rabalais acknowledged that he had received from Lemoine the sum of $500.00 in cash as "Earnest Money," and the agreement further recites that:

"The consideration of the sale is to be for Twelve Thousand Eight Hundred ($12,800.00) Dollars, less the Five Hundred ($500.00) Dollars received herein as `Earnest Money.' The terms of the sale are to be the assumption by the purchaser of the mortgage presently existing on this property to Future Holders for Four Thousand ($4,000.00) Dollars, dated February 24th, 1958, Seven Thousand ($7,000.00) Dollars in cash and a personal note for the difference."

The sale of this property was completed five days later, on December 1, 1958. On that date Rabalais and Lemoine executed an authentic act of sale, under the provisions of which the real property and improvements were sold and conveyed to Lemoine. This act of sale contains the following stipulation.

"This sale is made for and in consideration of the sum and price of Twelve Thousand Eight Hundred ($12,800.00) Dollars, of which the sum of Seven Thousand ($7,000.00) Dollars is paid cash the receipt whereof is hereby acknowledged and acquittance in full thereof granted, and for the balance, the purchaser assumes that certain mortgage dated February 24, 1958, for $4,000.00, with a balance due on same of $______;"

The defendant testified that the balance due on the mortgage which he assumed was approximately $3,700.00 at the time of the sale. Although the two documents above-described, that is, the contract to purchase and the act of sale, relate only to the real property on which the grocery store was located, the parties agree that for the consideration therein recited defendant Lemoine was to acquire not only the real property but also the fixtures and the stock of merchandise in the store. The evidence *88 shows that Lemoine actually began operating the store as his own business on or about January 1, 1959.

The note on which this suit is based was executed on February 11, 1959, more than two months after the act of sale was completed, and more than one month after Lemoine had taken over the operation of the store. And, as we have already pointed out, the note was made payable to plaintiff, Jules Chenevert, instead of to Rabalais, the vendor in the above-described act of sale.

Defendant admits that he signed the note on which the suit is based and that all of the writing and figures which now appear on the note were on it when he affixed his signature to it. He contends, however, that he did not owe $9,037.00 to plaintiff at that time, and that he did not intend to sign a note for that amount. He admits that he owed a balance of about $1,800.00 on the purchase price of the property at the time the note was signed, and he says he thought the note was for this smaller amount. His only explanation for having signed a note for a much greater amount is that he must not have read it carefully before signing.

Mr. Maxwell Bordelon, the attorney and notary before whom the act of sale dated December 1, 1958, was executed, testified that the note on which this suit is based was signed by defendant Lemoine in his office, in his presence and in the presence of the payee, Jules Chenevert. He testified that he had prepared the contract to purchase and the act of sale which were executed several weeks before the note was made, and that he was thoroughly familiar with the entire transaction. He stated that he filled in the blanks on the note before it was signed, that Lemoine had not paid the $7,000.00 cash consideration which is recited in the deed, and that the note represents the actual balance which was owed by Lemoine on the purchase price of the grocery store at that time. Mr. Bordelon's testimony, in part, is as follows:

"A. When it was discussed in my office, it was understood that he (Lemoine) was signing a note for $9,000.00, to Jules, for the stock and the furnishings in the store.
* * * * * *
"A. * * * My recollection is this * * *. Peter did not pay the $7,000.00 that is why the note was made for $9,000.00. I remember that distinctly." (Emphasis added.)

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Bluebook (online)
161 So. 2d 85, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chenevert-v-lemoine-lactapp-1964.