Fireman's Fund Ins. Co. v. Myrick

317 So. 2d 632, 1975 La. App. LEXIS 3720
CourtLouisiana Court of Appeal
DecidedJune 30, 1975
Docket10307
StatusPublished
Cited by3 cases

This text of 317 So. 2d 632 (Fireman's Fund Ins. Co. v. Myrick) 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
Fireman's Fund Ins. Co. v. Myrick, 317 So. 2d 632, 1975 La. App. LEXIS 3720 (La. Ct. App. 1975).

Opinion

317 So.2d 632 (1975)

FIREMAN'S FUND INSURANCE COMPANY
v.
W. H. MYRICK et al.

No. 10307.

Court of Appeal of Louisiana, First Circuit.

June 30, 1975.
Rehearing Denied August 26, 1975.

*634 E. Drew McKinnis, McKinnis & Juban, Baton Rouge, for defendants and third party plaintiff-appellant.

Charles W. Franklin, Franklin, Moore & Walsh, Baton Rouge, for plaintiff-appellee.

J. Walter Ward, Jr., Christovich & Kearney, New Orleans, for third party defendant-appellee Highlands Ins. Co.

Before SARTAIN, ELLIS and BARNETTE, JJ.

BARNETTE, Judge.

The plaintiff, appellee, Fireman's Fund Insurance Company (Fireman's) filed this suit against W. H. Myrick, Helen M. Myrick and Myrick Construction Co., (Myricks) for the recovery of attorney's fees incurred in the defense of certain actions brought against Myricks and Fireman's. A third party action was brought by Myricks against Highlands Insurance Company for indemnification of any amount for which they might be cast in judgment to Fireman's.

*635 Judgment was rendered in favor of Fireman's against W. H. Myrick Construction Company and W. H. Myrick and Helen M. Myrick in solido in the principal sum of $1,399.22. The third party demand against Highlands was denied and dismissed.

From these adverse judgments the Myricks have appealed.

A statement of the case, the pertinent facts and the issues are well set forth in the trial judge's written reasons for judgment which we copy in full as follows:

"WRITTEN REASONS FOR JUDGMENT

"This is a suit seeking to recover attorney's fees incurred by the plaintiff, Fireman's Fund Insurance Company (referred to hereafter as `Fireman's'), due to the failure of its indemnitors, W. H. Myrick Construction Company, W. H. Myrick, and Helen M. Myrick (referred to hereafter collectively as `Myricks'), to comply with certain obligations owed under a general indemnity agreement. The defendants filed a third party demand against Highlands Insurance Company (referred to hereafter as `Highlands').

"The facts are essentially as follows: Myrick Construction Company, Inc. was the general contractor for the construction of the Community Coffee Company manufacturing plant in Port Allen, Louisiana. Fireman's issued a surety bond in behalf of Myrick Construction Company in the amount of $1,278,000.00, covering the project. Pursuant to a separate indemnity agreement, Myricks agreed to indemnify Fireman's for any loss, costs, damages, attorney's fees, and other expenses in connection with the execution of the bond.

"In connection with the Community Coffee project, two suits were filed against the Contractor, W. H. Myrick Construction Company, and against Fireman's on their bond. Other liens were filed against the project.

"Fireman's contacted the Myricks in an attempt to get them to defend the suits and to provide Fireman's with information relative to the validity of the claims and the ability of the Myricks to pay the claims. The Myricks refused to do this for some time and Fireman's retained their own attorney. Eventually, the Myricks retained counsel to defend both parties. The suits were later settled and the claims paid.

"Highlands, who had bonded a subcontractor, Cliff Hughes Company of Louisiana, Inc., settled the suit filed by Evans Electric Company and the Myricks settled the other suit and paid off the liens. Fireman's filed this suit seeking recovery of the sums expended for an attorney to represent them in the two suits. The Myricks, as third party plaintiffs, filed a third party demand against Highlands, alleging that any liability which they might have was a result of Highlands' failure to timely pay the claims of the supplier.

"The deposition of John Carruth was submitted by the plaintiff and marked for identification as Fireman's Fund—18. Mr. Carruth was not present and defendants objected to introduction of the deposition on the ground that it was hearsay. The Court withheld ruling on the admissibility and now wishes to do so. Mr. Carruth was in Texas and unable to attend the trial due to illness. Notice to take the deposition of Mr. Carruth (Fireman's Fund—19) was served on opposing counsel by the plaintiff on December 19, 1973. No objection was made to the notice until the attempted introduction of the deposition.

"LSA-C.C.P. Art. 1428 provides that the deposition of a witness may be used for any purpose if the witness resides more than 100 miles from the place of the trial or if the witness is unable to attend due to sickness or infirmity. Mr. Carruth resides in Dallas, Texas. Also, he was unable to attend the trial due to illness. Thus, under LSA-C.C.P. Art. 1428, his deposition may be used for any purpose. Argument was made on behalf of the defendants that they *636 could not attend the taking of the deposition because the cost of going to Dallas was prohibitive in relation to the amount of the principal demand. As previously stated, defendants had notice on December 19, 1973, that the deposition was to be taken. Under the provisions of LSA-C.C.P. Art. 1452, defendants could have moved for a protective order limiting the taking of the deposition upon a showing of good cause. Defendants failed to seasonably make the aforementioned motion. Thus it appears that the deposition is admissible under the provisions of LSA-C.C.P. Art. 1428 and defendants by failing to seasonably move for a protective order under the provisions of LSA-C.C.P. Art. 1452, are precluded from now asserting undue hardship in attending the taking of the deposition.

"Mr. Carruth is Secretary of Fidelity and Surety Claims for the plaintiff. His deposition shows that claims were made on the Community Coffee project for which Fireman's was the surety. These claims were made by laborers and suppliers of materials. In order to ascertain whether the claims were valid, Fireman's sought information from the defendants relative to the status of the claims and the ability of the Myricks to pay the claims. The Myricks refused to provide the information. Fireman's was therefore required to retain an attorney in order to protect itself. Subsequently, a suit was filed by Evans Electrical Company, a supplier of Hughes-Walsh Company (later known as Cliff Hughes Company of Louisiana, Inc.), a subcontractor on the Community Coffee Project. Plaintiff then requested that the Myricks defend it as well as Myrick Construction Company in the suit. This request was refused and plaintiff was required to retain an attorney to prepare pleadings and engage in negotiations.

"Fireman's was subsequently notified by Mr. George Womack that on behalf of the Myricks, he would defend Fireman's in the suit.

"Thereafter, liens were filed on the project by other materialmen and another suit was filed by American Sprinkler Company against W. H. Myrick Construction Company and Fireman's for materials purchased for the job. The Myricks eventually settled the claim, but Fireman's hired an attorney to file motions in the case.

"The general indemnity agreement (Fireman's Fund—8) was introduced by plaintiff. The agreement named W. H. Myrick Construction Company, W. H. Myrick, individually, and Helen M. Myrick, individually, as indemnitors. The agreement was signed by Mr. and Mrs. Myrick in their individual capacities and by Mr. Myrick as agent for Myrick Construction Company. The agreement contained the following clause:

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Bluebook (online)
317 So. 2d 632, 1975 La. App. LEXIS 3720, Counsel Stack Legal Research, https://law.counselstack.com/opinion/firemans-fund-ins-co-v-myrick-lactapp-1975.