Fullerton v. Scarecrow Club, Inc.

440 So. 2d 945
CourtLouisiana Court of Appeal
DecidedOctober 24, 1983
Docket15754-CA
StatusPublished
Cited by21 cases

This text of 440 So. 2d 945 (Fullerton v. Scarecrow Club, Inc.) 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
Fullerton v. Scarecrow Club, Inc., 440 So. 2d 945 (La. Ct. App. 1983).

Opinion

440 So.2d 945 (1983)

Charles H. FULLERTON d/b/a Fire Sprinkler Specialties, Plaintiff-Appellee,
v.
SCARECROW CLUB, INC. d/b/a The Bleachers, Defendant-Appellant.

No. 15754-CA.

Court of Appeal of Louisiana, Second Circuit.

October 24, 1983.

*946 Charles W. Robinson, Monroe, for defendant-appellant.

Shotwell, Brown & Sperry by C.A. Martin, III, Monroe, for plaintiff-appellee.

Before MARVIN, FRED W. JONES, Jr. and SEXTON, JJ.

SEXTON, Judge.

Plaintiff, a contractor, filed suit against defendant for the amount allegedly due him under a construction contract; he prayed, in the alternative, for a quantum meruit award for work done by him which inured to defendant's benefit. The trial court granted plaintiff a quantum meruit award under the alternative demand. We reduce the trial court's award, and, as amended, affirm the trial court's judgment.

Plaintiff in this cause is Charles H. Fullerton d/b/a Fire Sprinkler Specialties (hereinafter referred to as Fullerton). Mr. Fullerton owns and operates a business in West Monroe, La., which engineers and installs fire extinguisher sprinkler systems in residential and business structures. The defendant is Scarecrow Club, Inc. d/b/a The Bleachers. The defendant is a Louisiana corporation which operates a nightclub in Monroe, popularly referred to as The Bleachers.

Fullerton and the defendant entered into a contract on November 2, 1981, in which Fullerton obligated himself to install an automated sprinkler system in The Bleachers for the sum of $6,716.00. Fullerton thereafter designed the sprinkler system for The Bleachers, and purchased the necessary materials for the installation.

Fullerton began installation on Wednesday, January 20, 1982. On that date, Fullerton and his assistant, Carl Myers, each worked approximately four hours unloading sprinkler system components and materials at The Bleachers. Fullerton and Myers then spent 28 hours apiece the following *947 week in installing the automated sprinkler system in The Bleachers. Fullerton halted work on the installation on Wednesday, January 27, to await the city's installation of the water tap that was necessary to connect The Bleachers' sprinkler system with the city's water supply; Fullerton halted installation at this time because no more work could be done on The Bleachers' sprinkler system until the city water tap was installed. It was the defendant's responsibility, under the contract of November 2, 1981, to procure and pay for the city's services in installing the city water tap. The city water tap was installed approximately two weeks after Fullerton's work stoppage, removing the last technical obstacle to Fullerton's completion of the job.

By an invoice dated January 21, 1982, the day after work began, Fullerton billed the defendant for $5,225.[1] The invoice stated that 100% of the project's engineering and system fabrication had been completed, 100% of the needed materials purchased, but none of the required installation performed. Fullerton had unloaded the sprinkler system components on the job site at that time, but had scarcely begun installation efforts.

In February of 1982, several weeks after Fullerton had stopped working on the sprinkler installation at The Bleachers, Mr. Fullerton sought out Charles Robinson, president of the defendant, and requested full payment of the invoice for $5,225. However, Mr. Robinson declined to make full payment of the invoice amount since, under his understanding of the contract's terms of payment, payment was not due until the project was substantially completed. It was Mr. Robinson's "personal observation that the [installation called for by the] contract had not been completed." Robinson instead tendered to Fullerton a payment on behalf of the defendant in the amount of $1,000 for the materials that had been installed prior to Fullerton's work stoppage on January 27, 1982. Fullerton accepted the check for $1,000. Robinson also offered at that time to place the entire balance of the contract price in an escrow account, and stipulate that the escrow account would be released to Fullerton upon completion of the sprinkler installation. However, Fullerton rejected the offered escrow arrangement.

On May 12, 1982, in a written act of sale, Fullerton sold to the defendant—at a price of $1,504—all of the materials which had been purchased by Fullerton for The Bleachers project, but which had not been installed by Fullerton in The Bleachers. The defendant subsequently paid Gerald Johns the sum of $3,400 to complete the sprinkler installation at The Bleachers, using the $1,504 worth of materials purchased from Fullerton. Johns testified that the $3,400 total represented approximately $1,000 for material costs, and a $2,400 charge for approximately 77 man hours of labor.

The business dealings of Fullerton and the defendant can be summarized as follows: After the parties agreed by a contract of November 2, 1981 that Fullerton would install a fire sprinkler system for the price of $6,716, Fullerton began installation on January 20, 1982. On January 21, Fullerton billed the defendant for 77% of the project's total contract price, even though construction had scarely begun. Fullerton initially discontinued installation a week later on January 27—with much work left to be done—because the absence of a city water tap precluded further installation. The city water tap was installed on about February 15.

The defendant subsequently refused to pay the January 21 invoice amount of $5,225, and instead paid Fullerton $1,000, construing the contract between the parties to mandate that payment was only due upon 95% completion of installation. Fullerton, in turn, expressly refused to finish installation at The Bleachers until the total invoice amount of $5,225 was paid. Thus, although Fullerton initially discontinued installation because of the absence of a city water tap, Fullerton thereafter refused to *948 finish installation because of the defendant's failure to pay the billed amount of $5,225. Fullerton ultimately sold to the defendant for $1,504, materials which he purchased for The Bleachers but never installed.

Plaintiff Fullerton filed suit against defendant on December 15, 1982. In his main demand, plaintiff prayed that he be awarded the entire amount owed him under the contract of November 2, 1981, less a $2,504 credit for the $1,000 payment and $1,504 materials purchase made by the defendant; the main demand thus prayed for an award of $4,332.[2] In his alternative demand, plaintiff Fullerton sought a quantum meruit award based on his labor and materials, less a $2,504 credit for the defendant's payments; the alternative demand thus prayed for $2,457.07.

The trial court granted plaintiff relief on the alternative quantum meruit demand, and thus awarded him the sum of $2,457.07, which sum supposedly reflected the value of Fullerton's labor and materials less a $2,504 credit for the defendant's previous payments. Defendant has appealed the trial court's award of $2,457.07, contending that that award is excessive. Plaintiff Fullerton has answered the appeal, seeking damages and attorney's fees on the grounds that the defendant perfected a frivolous appeal. However, there is substance to defendant's appeal, as will hereafter be made clear, and plaintiff-appellee Fullerton's damage claim for frivolous appeal is therefore dismissed. Thus, the essential issue to be resolved on this appeal is whether the award made by the trial court was excessive.

A contract constitutes the law between, and binding upon, the parties that have entered into it.

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Bluebook (online)
440 So. 2d 945, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fullerton-v-scarecrow-club-inc-lactapp-1983.