Clarke v. Brecheen

387 So. 2d 1297
CourtLouisiana Court of Appeal
DecidedJuly 7, 1980
Docket13492
StatusPublished
Cited by10 cases

This text of 387 So. 2d 1297 (Clarke v. Brecheen) 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
Clarke v. Brecheen, 387 So. 2d 1297 (La. Ct. App. 1980).

Opinion

387 So.2d 1297 (1980)

Mary Elizabeth CLARKE
v.
Frank Henry BRECHEEN.

No. 13492.

Court of Appeal of Louisiana, First Circuit.

July 7, 1980.
Rehearing Denied September 4, 1980.

*1298 Ashton L. Stewart, Baton Rouge, for plaintiff-appellant, Mary Elizabeth Clarke (deceased) and Ivia U. Anderson, as executrix.

Walton J. Barnes, Baton Rouge, for defendant-appellee, Frank Henry Brecheen.

Before COVINGTON, LOTTINGER and COLE, JJ.

LOTTINGER, Judge.

The plaintiff, Miss Mary E. Clarke, brought this suit to revoke a donation of immovable property which she made to the defendant, Frank H. Brecheen, in 1972. From a trial court judgment upholding the validity of the donation, the plaintiff appeals.

Two major issues are before us on appeal:

1. Was the consideration given by the defendant for the donation so insufficient that the formula of La.C.C. art. 1526, and therefore the rules peculiar to inter vivos donations, should apply?

2. If the rules peculiar to donations inter vivos apply, did the plaintiff's reservation to herself of the "use and habitation" of the immovable property render the donation a radical nullity under La.C.C. art. 1533?

*1299 Because of our decision on the two issues above, we find it unnecessary to address the question of whether the donation divested the plaintiff of all of her property in contravention of La.C.C. art. 1497.

THE FACTS

Miss Clarke, a poor, single, 67-year-old woman who subsisted primarily on social security and old age benefits, lived in a relatively rundown house at 2933 Midway Street in Baton Rouge, Louisiana. She had lived in the house for a number of years caring for the former owner, Mildred Wilson, an invalid victim of multiple sclerosis. Miss Clarke became owner of the house and lot by testamentary bequest of Miss Wilson. As owner of the house, Miss Clarke rented a part of the dwelling to boarders. Mr. Brecheen became a boarder around 1968 and lived in the house with Miss Clarke for about two years. During that time, he and Miss Clarke became fairly close personal friends. Miss Clarke occasionally cooked, washed and ironed for Mr. Brecheen, who in turn performed a few handyman services for her and made some repairs around the house. The testimony reveals that Mr. Brecheen also purchased a chair and TV set for Miss Clarke, took her to the doctor's office on occasion and paid a $142.00 phone bill left by a previous tenant. In May, 1970, Mr. Brecheen purchased a home of his own and moved into it.

On July 25, 1972, by authentic act filed in the conveyance records of East Baton Rouge parish, Miss Clarke donated the Midway Street house and lot to Mr. Brecheen. The pertinent wording of the act of donation reads:

"DONOR declares that the subject donation is executed in favor of DONEE in consideration of the gratitude and affection DONOR bears for DONEE because of the assistance and services rendered by DONEE to DONOR.
"It is understood by and between the parties hereto that DONOR retains the right of use and habitation of the within donated property for life, and shall actually continue to use the property as her home, except and unless she is forced by illness to live elsewhere temporarily. It is further understood by and between the parties that DONOR retains the right of income from mineral rights, oil leases, royalties and timber sales for life."

Almost immediately after the donation was made, Brecheen began paneling the walls, replacing worn ceiling tiles and fixing some of the decayed areas of the house. He also added a second bathroom on the back porch and painted the exterior of the house. He then rented the house to other tenants.

A short time after the act of donation was confected, Miss Clarke suffered a heart attack and had to be hospitalized. The record indicates that she lived in the house a few weeks after returning from the hospital but soon moved in with Mrs. Viola Anderson and Mrs. Anderson's mother, Ivia Anderson, who lived on Midway Street nearby. Miss Clarke continued to reside with the Andersons through the time of this trial. The record reveals that Miss Clarke did not possess the mental faculties of a normal person her age, but no claim is made that her lack of mental capacity in any way affected the validity of the act of donation.

Miss Clarke filed this suit in 1978 seeking to nullify the donation under the provisions of La.C.C. arts. 1497 and 1533. The defendant answered, denying Miss Clarke's allegations and contending that the donation was remunerative. Assuming the position of plaintiff in reconvention, Mr. Brecheen claimed that, if the donation was defective, Miss Clarke owed him the sum of $5,472.86, representing remodeling costs, insurance and taxes. Miss Clarke denied the allegations of the reconventional demand. She also filed a supplemental and amending petition alleging that Brecheen's possession of the property was in bad faith because the defendant knew at the time of the donation that the purported donation divested Miss Clarke of all of her property and that the purported donation reserved the use and habitation of the property to Miss Clarke. Consequently, she sought as damages the fair market rental value of the property *1300 from the date of donation to the time of trial-a total sum of $12,000.00.

In his reasons for judgment, the trial judge found that the plaintiff failed in her burden of proving the value of the property at the time of the donation. The basis for the court's holding was that the plaintiff's expert real estate appraiser "was admittedly unable to determine the value of the house in its 1972 condition." The trial court held further that the plaintiff failed to prove that the value of the services for which the property was donated "was out of proportion to the value of the house." Because of his finding that the plaintiff did not prove the facts necessary to support her allegations, the trial judge upheld the donation.

Miss Clarke died four days before the trial court judgment was rendered. Her succession executrix, Mrs. Ivia Anderson, has been substituted as party plaintiff.

THE LAW

The Louisiana Civil Code lists three types of donations inter vivos: the gratuitous donation, the onerous donation and the remunerative donation. La.C.C. art. 1523. We are concerned in the case at bar with a remunerative donation, one which is made to recompense another person for services rendered or charges incurred. La.C.C. arts. 1523, 1525 and 1526. Though a remunerative donation is not based solely on a spirit of liberality and gratitude, such a donation will still be subject to the rules peculiar to gratuitous donations if "the value of the object given exceeds by one-half that of the charges or of the services." La.C.C. art. 1526. The formula in this article has been interpreted to mean that, if the value of the charges or the services is not greater than two-thirds the value of the donated object, the rules peculiar to gratuitous donations inter vivos will apply. Whitman v. Whitman, 206 La. 1, 18 So.2d 633 (1944); Succession of Danos, 359 So.2d 679 (La.App. 1st Cir. 1978).

If Article 1526's formula is met, the donation under consideration will be subject, inter alia, to the rule of Article 1533, which prior to 1974 read:

"The donor is permitted to dispose, for the advantage of any other person, of the enjoyment or usufruct of the immovable property given, but cannot reserve it for himself."

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Bluebook (online)
387 So. 2d 1297, Counsel Stack Legal Research, https://law.counselstack.com/opinion/clarke-v-brecheen-lactapp-1980.