Conti Enterprises, Inc. v. Providence/GSE Associates, LLC, Robert E. Williams, Jr, and Aspen Specialty Insurance Company

CourtLouisiana Court of Appeal
DecidedOctober 30, 2023
Docket2022CA1249
StatusUnknown

This text of Conti Enterprises, Inc. v. Providence/GSE Associates, LLC, Robert E. Williams, Jr, and Aspen Specialty Insurance Company (Conti Enterprises, Inc. v. Providence/GSE Associates, LLC, Robert E. Williams, Jr, and Aspen Specialty Insurance Company) 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
Conti Enterprises, Inc. v. Providence/GSE Associates, LLC, Robert E. Williams, Jr, and Aspen Specialty Insurance Company, (La. Ct. App. 2023).

Opinion

STATE OF LOUISIANA COURT OF APPEAL FIRST CIRCUIT

M 2022 CA 12491

CONTI ENTERPRISES, INC.

PROVIDENCE/ GSE ASSOCIATES, LLC., ROBERT E. WILLIAMS, JR. AND ASPEN SPECIALTY INSURANCE COMANY

Judgment rendered: OCI 3 0 2023

On Appeal from the 32" Judicial District Court Terrebonne Parish State of Louisiana No. 174385

Judge Randall L. Bethancourt, Presiding

Stephen P. Hall Attorneys for Appellee/ Defendant Phelps Dunbar, LLP XL Specialty Insurance Company New Orleans, Louisiana

Adrian G. Nadeau Attorneys for Appellees/ Defendants J. Weston Clark Hartman Engineering, Inc. and Baton Rouge, Louisiana Jared Monceaux

Brian J. Marceaux Attorneys for Plaintiff/Appellant Julius P. Hebert, Jr. Terrebonne Parish Consolidated Government Derick A. Bercegeay Brianna Wilson Orgeron Houma, Louisiana

BEFORE: THERIOT, HOLDRIDGE, AND HESTER, JJ.

Pesfe- r I COACkAr5 I

1 We note that 2022 -CA -1249, Conti Enterprises, Inc. vs. Providence/GSE Associates, LLC, is consolidated with 2022 -CA -1248, Conti Enterprises, Inc. vs. Providence/ GSE Associates, LLC, for oral argument and submission. HOLDRIDGE, J.

In this appeal, Terrebonne Parish Consolidated Government ( TPCG) appeals

a trial court' s judgment granting a motion for summary judgment dismissing all of

TPCG' s claims against Hartman Engineering, Inc. and Jared Monceaux

sometimes collectively referred to as " Hartman"). We affirm.

BACKGROUND

This lawsuit arises out of a road construction project in Terrebonne Parish

commonly called the " Hollywood Road Widening Project" (" the Project"). On

April 21, 2015, Conti Enterprises, Inc. ( Conti), which served as the general

contractor on the Project, filed a lawsuit against Providence/ GSE Associates, LLC

Providence), Robert E. Williams, Jr., and Aspen Specialty Insurance Company,

Providence' s insurer. By amended petition filed on November 2, 2018, Conti

added TPCG and the Louisiana Department of Transportation ( DOTD) as

defendants in the litigation.

In the original and amending petitions, Conti alleged that TPCG entered into

a written contract with Providence to perform construction engineering and

inspection services, including construction administration, in connection with the

Project. Conti further alleged that it based its bid price on the ability to construct the Project in strict compliance with the plans, specifications, and bidding

documents. Conti alleged that during construction, it became obvious that the

plans, specifications, and bidding documents, including the portions designed,

issued, and let for bid by TPCG and DOTD, were inadequate and insufficient for

proper construction of the Project. Conti sought to recover all losses it claimed

were caused by the wrongful acts of the defendants in connection with the design

phase and construction administration of the Project, including all amounts for

2 additional time, effort, manpower, labor, equipment and money for which Conti

had not been paid, as well as extended overhead and home office expenses.

On May 14, 2020, TPCG filed a reconventional demand, cross- claim, and

third -party demand in which it made Hartman and its insurer, XL Specialty

Insurance Company ( XLSIC), third party defendants in the litigation.2 In the third -

party demand, TPCG alleged that Hartman contracted with TPCG on October 7,

1998, to prepare an environmental assessment and to prepare plans and

specifications for the roadway, including storm drains, associated with the Project.

TPCG alleged that the TPCG-Hartman contract required Hartman to defend and

indemnify TPCG and to maintain insurance for the Project, listing TPCG as an additional insured. TPCG asserted that in the event it was found liable to Conti,

Hartman and its insurers were obligated to indemnify TPCG for any and all

damages cast against TPCG in the Conti lawsuit for all costs and expenses,

including attorney' s fees. More specifically, TPCG alleged that if Conti was able

to prove its allegations regarding the site conditions or defective roadway plans, Hartman, through its contract with TPCG, was liable to TPCG for its negligence or

fault based upon Hartman' s numerous alleged breaches of the TPCG-Hartman

contract, including: preparing plans and specifications which contained errors and

omissions; deficient preparation of topological surveys, roadway plans, including drainage specifications, environmental assessments and Project designs; and

Hartman' s deficient implementation of its scope of work associated with the

Project.

On January 6, 2022, Hartman filed a motion for summary judgment in which

it asserted that TPCG' s claims were barred by the five-year peremptive period set forth in La. R.S. 9: 5607 for actions seeking damages against a professional 2

By letter dated January 2, 2019, TPCG tendered the defense and indemnity of the claims made against it by Conti in the amended petition to XLSIC. 3 engineer. Hartman relied on La. R.S. 9: 5607( A)(3), which provides that the

peremptive period in a claim against an engineer that furnished services

preparatory to construction, but did not perform inspection of the work,

commences to run from the date the engineer has completed its services.

According to Hartman, the services it was contracted by TPCG to perform in

connection with the Project were completed when Hartman signed and sealed the

last revision to its final set of roadway plans on September 16, 2013. Hartman

urged that pursuant to La. R.S. 9: 5607( A)(3), all claims against Hartman related to

its services on the Project had to be brought no later than September 16, 2018.

Since TPCG' s third -party demand against Hartman was filed in May of 2020, nearly two years after the five-year peremption period had expired. Hartman

argued that TPCG' s claims were perempted as a matter of law and should be

dismissed.

In opposition to the motion, TPCG insisted that the statutes pertaining to public works projects undertaken by DOTD provide the exclusive time limitation

for all work arising out projects related to a DOTD contract. The provision relied

on by TPCG, La. R.S. 48: 251. 3, provides that any action arising out or related to a DOTD contract or on a bond furnished by a contractor prescribes five years from

recordation of the acceptance of such contract. According to TPCG, the DOTD

prescription statutes applied to this case because the Project was let out by DOTD

on TPCG' s behalf, TPCG was required to follow the protocol set forth in the

DOTD statutes, Hartman' s work done on the Project undoubtedly arises out of and is related to the DOTD Project, and Hartman provided design services, inspection services, and other preparatory services outside of design engineering in

connection with the Project. TPCG asserted that the five-year prescriptive period

on such actions commenced on the date of acceptance of the work by DOTD was 19 recorded. TPCG relied on evidence showing that on June 15, 2017, DOTD' s chief

engineer, Janice Williams, signed and approved the final acceptance of the Project

and recorded that acceptance with the clerk of court in Terrebonne Parish. On June

23, 2017, TPCG filed its final accepted completion of the Project. TPCG urged

that pursuant to the DOM statutes, the five-year prescriptive period began to run

on June 23, 2017, making its 2020 claims against Hartman timely.

Alternatively, TPCG maintained that if La. R.S.

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Conti Enterprises, Inc. v. Providence/GSE Associates, LLC, Robert E. Williams, Jr, and Aspen Specialty Insurance Company, Counsel Stack Legal Research, https://law.counselstack.com/opinion/conti-enterprises-inc-v-providencegse-associates-llc-robert-e-lactapp-2023.