DLZ INDIANA, LLC v. Greene County

902 N.E.2d 323, 2009 Ind. App. LEXIS 397, 2009 WL 653004
CourtIndiana Court of Appeals
DecidedMarch 12, 2009
Docket60A04-0808-CV-479
StatusPublished
Cited by21 cases

This text of 902 N.E.2d 323 (DLZ INDIANA, LLC v. Greene County) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
DLZ INDIANA, LLC v. Greene County, 902 N.E.2d 323, 2009 Ind. App. LEXIS 397, 2009 WL 653004 (Ind. Ct. App. 2009).

Opinion

OPINION

NAJAM, Judge.

STATEMENT OF THE CASE

In this appeal, we are asked once again to consider what constitutes a joint venture. DLZ Indiana, LLC, ("DLZ") appeals from partial summary judgment in favor of Greene County, Indiana ("the County") on the County's second-amended complaint alleging breach of contract. DLZ presents a single issue for our review, namely, whether the trial court erred when it concluded that DLZ was engaged in a joint venture with United Consulting Engineers, Inc. ("United") to provide architectural services for the County ("the Project"). 1 We hold that United and DLZ did not exercise joint or mutual control over the Project or share profits and, thus, were not doing business as a joint venture as a matter of law.

We reverse and remand with instructions.

FACTS AND PROCEDURAL HISTORY

On June 25, 2001, the County entered into an Agreement for Design Services ("the Agreement") with United and DLZ to design the expansion and renovation of the Greene County Courthouse in Bloomfield. The first paragraph of the Agreement states:

THIS AGREEMENT, made as of the 25th day of June, 2001, and amended this 2ist day of August, 2001, by and between UNITED CONSULTING ENGINEERS & ARCHITECTS (hereinafter referred to individually as "United") and DLZ OF INDIANA, LLC (hereinafter referred to individually as "DLZ"), jointly and in collaboration (hereinafter collectively referred to as "the Firm"), and [the County] (hereinafter called "Owner").

Appellant's App. at 127. And Section 1 states in relevant part:

General Description of Project: Scope of The Firm's Services. Owner desires to employ the Firm to perform all professional architectural services described in the Agreement for the design and construction of Owner's project to renovate and remodel the Greene County Courthouse, Bloomfield, Indiana. ...

Id. In addition, Section 23 provides:

Division of Services/Liability. United and DLZ have entered into certain *326 agreements under which DLZ will provide certain design and engineering services. In addition, in executing this Agreement, United and DLZ understand and agree that United will act as the principal and have full responsibility and liability for all services to be provided under the terms of this Agreement. In addition, DLZ will have responsibility and be liable to the Owner, as a third party beneficiary, for the services it provides. Further DLZ agrees that it will assign John S. Staley as the design architect for the Project.

Id. at 135 (emphasis added).

On June 26, 2001, DLZ and United entered into a Subcontract (AIA Standard Form of Agreement Between Architect and Consultant), which identifies United as "the Architect" and DLZ as "the Consultant" on the Project. Id. at 398. Article 2.3 of the Subcontract provides that DLZ is an independent contractor, and Article 8.1.7 states that DLZ "shall not be responsible for the acts or omissions of [United.]" Id. at 400. In addition, Article 4.5.4 provides in relevant part that DLZ "shall be responsible for [its] negligent acts or omissions, but shall not have control over or charge of and shall not be responsible for acts or omissions of the Contractor, Subcontractors, or their agents or employees, or of any other persons or entities performing portions of the Work." Id. at 402. And, significantly, Article 18.1 provides that United will compensate DLZ for its work on the Project based upon DLZ's invoices "per hourly rates established in Schedule II, Section C[.]J" Id. at 411. DLZ's fees were "not to exceed" $527,763. Id. at 411-12. DLZ received payments for its work directly from United.

After the Project began, but before work was completed, the County filed a complaint against DLZ and United alleging breach of contract, breach of warranty, and negligence. In its second amended complaint, the County alleged that DLZ and United are jointly liable "as a Joint Venture." Id. at 298. After summary judgment motions and cross-summary judgment motions were filed on various issues, the trial court concluded in relevant part:

1. In regard to the issue of whether a joint venture relationship existed between DLZ Indiana, LLC. and United Consulting Engineers, Inc., the Court finds that there exists no genuine issue of material fact in regard to this issue.
2. Under Indiana law a joint venture is an association of two or more parties formed to carry out a single enterprise for profit through the combination of their property and services. Boyer v. First National Bank of Kokomo, 476 N.E.2d 895 (Ind.Ct.App.1985).
3. The Agreement for Design Services which was negotiated and executed by the parties to this cause provided in its opening paragraph that:
"This Agreement, made as of the 25th day of June, 2001, and amended this 21st day of August, 2001, by and between [United] and [DLZ], jointly and in collaboration (hereinafter collectively referred to as "the Firm") and [the County]" ...
4. Throughout the Agreement, United and DLZ are treated as one entity vis-a-vis the plaintiff, and are collectively referred to as the "Firm." This specification of the two defendants as a single entity by means of a joint venture continues throughout the Agreement in regard to such areas as their equal responsibility for the quality of the work, the fact that they were hired as a single entity with combined expertise or special abilities to perform the work for the plaintiff; the responsibility of the "Firm" to indemnify the plaintiff for any *327 . damages ... resulting from performance of the Services; and in regard to the manner of payment, which was made directly to "the Firm" rather than to the separate defendants.
5. The Court further finds that Section 23 of the Agreement defines the allocation of risk between United and DLZ and does not negate the fact that these parties were jointly and severally liable under the Agreement to the plaintiff under their joint venture.
6. Lastly the evidence shows that at least one of the parties, namely United, considered this arrangement as a joint venture as evidenced by two letters from United's President to United's insurers placing them on notice of plaintiffs claims and referring to the project as one "joint ventured" with DLZ.
7. For all of these reasons, the Court finds that there exists no genuine issue of material fact that a joint venture relationship exists between DLZ and United. The Court further finds that there is no just reason for delay and that final judgment should be entered on this issue in favor of the [County].

Id. at 32 2 Thus, the trial court granted the County's motion for partial summary judgment, and denied DLZ's motion for partial summary judgment on the joint venture issue. This appeal ensued.

DISCUSSION AND DECISION

Standard of Review

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Untitled Case
S.D. Indiana, 2026
Ilene Breuning v. Tim W Breuning
Indiana Court of Appeals, 2026
Ricky D Greene v. Jeffery A. Greene
Indiana Court of Appeals, 2025
TriCor Automotive Group v. Haytham Elzayn
Indiana Court of Appeals, 2023
WILKOSKI v. B&T EXPRESS, INC
W.D. Pennsylvania, 2022
McVay v. Store House Co.
289 F. Supp. 3d 892 (S.D. Indiana, 2017)
RQAW Corporation v. Dearborn County, Indiana
83 N.E.3d 745 (Indiana Court of Appeals, 2017)
Walsh Construction Company v. Zurich American Insurance Company
72 N.E.3d 957 (Indiana Court of Appeals, 2017)
Cherokee Air Products, Inc. v. Buchan
14 N.E.3d 831 (Indiana Court of Appeals, 2014)
B-Line Medical, LLC v. Interactive Digital Solutions, Inc.
57 A.3d 1041 (Court of Special Appeals of Maryland, 2012)

Cite This Page — Counsel Stack

Bluebook (online)
902 N.E.2d 323, 2009 Ind. App. LEXIS 397, 2009 WL 653004, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dlz-indiana-llc-v-greene-county-indctapp-2009.