City of Baton Rouge v. Am. Home Assur. Co.

991 So. 2d 48, 2008 WL 1930166
CourtLouisiana Court of Appeal
DecidedMay 2, 2008
Docket2007 CA 1755
StatusPublished
Cited by3 cases

This text of 991 So. 2d 48 (City of Baton Rouge v. Am. Home Assur. Co.) 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
City of Baton Rouge v. Am. Home Assur. Co., 991 So. 2d 48, 2008 WL 1930166 (La. Ct. App. 2008).

Opinion

991 So.2d 48 (2008)

CITY OF BATON ROUGE and Parish of East Baton Rouge through the Greater Baton Rouge Metropolitan Airport District
v.
AMERICAN HOME ASSURANCE COMPANY and J. Caldarera & Co., Inc.

No. 2007 CA 1755.

Court of Appeal of Louisiana, First Circuit.

May 2, 2008.

*49 Richard M. Simses, Johanna G. Myers, Abbott, Simses & Kuchler, APLC, Houston, TX, Paul M. Lavelle, New Orleans, LA, for Intervenor-Appellant FMC Technologies, Inc.

Lloyd N. Shields, Elizabeth L. Gordon, Adrian A. D'Arcy, Shields Mott, Lund L.L.P., New Orleans, LA, for Defendant-Appellee J. Caldarera & Co., Inc.

Before PARRO, KUHN, and DOWNING, JJ.

PARRO, J.

FMC Technologies, Inc. (FMC) appeals the granting of a motion for summary judgment in favor of J. Caldarera & Co., Inc. (Caldarera), which dismissed FMC's claims on the grounds that they had prescribed. For the following reasons, we vacate the judgment and remand this matter to the district court.

FACTUAL AND PROCEDURAL BACKGROUND

This is the latest installment in this lawsuit concerning renovation and construction at the Greater Baton Rouge Metropolitan *50 Airport.[1] All other aspects of the case have been resolved, leaving only this dispute between the intervenor, FMC, and the defendant, Caldarera. After the original contractor on the airport project defaulted, its surety hired Caldarera to complete the work. On December 15, 1999, FMC submitted a bid to Caldarera for construction, delivery, and installation of six passenger boarding bridges (Jetways) through one of its divisions, Jetway Systems. The airport owner authorized Caldarera to buy the Jetways from FMC, and the project architect issued to Caldarera a notice to proceed with an order for the manufacture and delivery of them in accord with FMC's proposal.[2] The notice to proceed between the airport owner and Caldarera included a liquidated damages provision, stating the amount of $500 per day would be assessed for any delays beyond the times set forth in FMC's proposal. On January 18, 2000, Caldarera sent a letter to FMC, serving as notice to proceed with the fabrication and delivery of the Jetways; that letter also stated that a formal subcontract would be sent to FMC's office for execution. However, the written contract Caldarera eventually sent included a "pass-through" of the liquidated damages provision, and FMC never signed it. As a result, Caldarera's later claim for liquidated damages due to late delivery was denied by FMC on the grounds that there was no formally executed written contract including those terms.

FMC manufactured and delivered six Jetways and billed Caldarera as each was delivered. A portion of three invoices remained unpaid, and on September 29, 2001, FMC sent written demand to Caldarera for payment.[3] Over four years later, on December 28, 2005, FMC filed its petition for intervention, claiming Caldarera had not paid the full amount due on its contract for the manufacture and delivery of the Jetways, and the amount remaining due to it was $337,297.77.

On March 16, 2007, Caldarera submitted a motion for summary judgment,[4] in which it characterized FMC's claims as a suit on open account and contended the claims were prescribed due to FMC's failure to file suit within the three-year prescriptive period applicable to open accounts under LSA-C.C. art. 3494(4). FMC opposed the motion, arguing that its claims were based on a contractual relationship between the parties and that its petition in intervention sought recovery of damages as a result of breach of contract. It further argued that its petition also pled quasi-contractual theories upon which it could recover damages. Both of these causes of action have a ten-year prescriptive period. FMC also opposed the motion on the grounds of insufficient service of process, insufficient notice, unauthorized use of a summary proceeding, and lack of procedural due process.[5]

*51 After a hearing on the scheduled trial date, April 2, 2007, the trial court agreed with Caldarera's argument, stating: "The court is going to grant the summary judgment being of the opinion that there exists no contract and that the matter is prescribed on its face." In this appeal, FMC asserts the following assignments of error: (1) the district court's failure to consider the allegations of FMC's petition in intervention when determining the applicable prescriptive period; (2) the district court's finding that there was no contract between Caldarera and FMC; (3) in the alternative, the district court's error in granting the motion when there are genuine issues of material fact as to whether a contract was formed; (4) the district court's conclusion that FMC's claim was a suit on open account; (5) the district court's finding there was a suit on open account, despite having found there was no contract between the parties; (6) the district court's error in granting the motion, because Caldarera did not meet its burden of proof that FMC's claim was a suit on open account; (7) the district court's error in dismissing all of FMC's causes of action when Caldarera's motion did not address all the causes of action or grounds for recovery asserted by FMC; (8) the district court's error in ignoring insufficiency of service and notice, given that FMC was not properly served with Caldarera's motion for summary judgment; and (9) the district courts error in granting an improperly served motion for summary judgment.

DISCUSSION

Addressing the last two assignments of error, dealing with improper service and insufficient notice, we note that Louisiana Code of Civil Procedure article 966(B) states that the motion for summary judgment and supporting affidavits shall be served at least fifteen days before the time specified for the hearing. If the adverse party serves opposing affidavits, these affidavits and any supporting memorandum shall be served pursuant to Article 1313 at least eight days prior to the date of the hearing unless the Rules for Louisiana District Courts provide to the contrary. Rule 9.8(a) of the Louisiana Rules for District Courts states that all motions must be accompanied by a proposed order requesting that the motion be set for hearing. Rule 9.9 states that a supporting memorandum must be served on all other parties so that it is received by the other parties at least fifteen calendar days before the hearing, unless the court sets a shorter time, and an opposition memorandum must be served on the other parties so that it is received by the other parties at least eight calendar days before the hearing, unless the court sets a shorter time. However, although the court may hear and render judgment on the motion for summary judgment within a reasonable time, judgment on the motion must be rendered at least ten days prior to trial. See LSA-C.C.P. art. 966(D).

Comment (b) to Rule 9.10[6] refers to Article 1313 of the Louisiana Code of Civil Procedure regarding service of pleadings subsequent to the original petition. Louisiana Code of Civil Procedure article 1313 states, in pertinent part:

A. Except as otherwise provided by law, every pleading subsequent to the original petition, and every pleading which under an express provision of law may be served as provided in this Article, may be served either by the sheriff or by:
*52 (1) Mailing a copy thereof to the counsel of record, ... this service being complete upon mailing.

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991 So. 2d 48, 2008 WL 1930166, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-of-baton-rouge-v-am-home-assur-co-lactapp-2008.