Harper Oil Field Services v. Dugas

451 So. 2d 96, 1984 La. App. LEXIS 8742
CourtLouisiana Court of Appeal
DecidedMay 16, 1984
Docket83-573
StatusPublished
Cited by16 cases

This text of 451 So. 2d 96 (Harper Oil Field Services v. Dugas) 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
Harper Oil Field Services v. Dugas, 451 So. 2d 96, 1984 La. App. LEXIS 8742 (La. Ct. App. 1984).

Opinion

451 So.2d 96 (1984)

HARPER OIL FIELD SERVICES, Plaintiff-Appellee,
v.
Lee DUGAS, et al., Defendants-Appellants.

No. 83-573.

Court of Appeal of Louisiana, Third Circuit.

May 16, 1984.

*98 Gibbens & Blackwell, J. Louis Gibbens, New Iberia, for defendants-appellants.

Privat & Regan, Thomas K. Regan, Crowley, for plaintiff-appellee.

Jacques Cousin, Louis C. Guillot, New Iberia, for defendant-appellee.

Before DOMENGEAUX, C.J., and GUIDRY and DOUCET, JJ.

GUIDRY, Judge.

Harper Oil Field Services (hereafter Harper), a partnership composed of Robert Coleman and Hillary Cart, filed this suit for tortious conversion of a mud tank, seeking damages for loss of use, embarrassment, humiliation and attorney's fees. Named as defendants were 4-D Sandblasters, Inc. and its successor corporation, 4-D Corrosive Control Specialists, Inc. (hereafter 4-D); Lee Dugas, the chief executive officer and the principal stockholder of 4-D; Welders Unlimited, Inc. (hereafter Welders); Richard Dautreuil, the chief executive officer and principal shareholder of Welders; and Dresser Industries, Inc., d/b/a Magcobar (hereafter Magcobar).

Dugas and 4-D filed a reconventional demand against Harper for tortious interference with a contract of sale, seeking damages and attorney's fees. Dugas and 4-D also filed third party demands against Dautreuil and Welders for amounts due on open account.

Magcobar was dismissed from the suit on a motion for summary judgment. That judgment was not appealed and is now final.

After trial on the merits, the trial judge rendered judgment in favor of Harper and against 4-D ordering a return of the mud tank and for damages for loss of use in the principal amount of $1,200.00. Plaintiff's demands against Lee Dugas and Richard Dautreuil, individually, were dismissed with prejudice. Further, judgment was rendered granting 4-D's reconventional demand against Welders in the principal amount of $7,533.95. All other demands were ordered dismissed with prejudice. 4-D appeals only the judgment on the main demand. Harper has answered the appeal seeking only an increase in damages.

*99 FACTS

In September of 1980, Robert Coleman and Hillary Cart formed Harper, a partnership, for the purpose of leasing out oil field equipment. Mr. Coleman was employed as a mud engineer in the oil business and learned that Welders had four 1000 gallon capacity pneumatic mud tanks for sale. The four tanks had been specially ordered by a company which subsequently went out of business and was unable to complete the sale. On September 23, 1980, Mr. Coleman, on behalf of Harper, concluded negotiations for the purchase of one of these tanks from Welders and issued a check in the amount of $7,200.00 to Welders. Mr. Coleman was given a dated invoice, marked paid, describing the tank as "one cylindrical 1000 sack capacity mud tank serial # WU-1000-1." It was understood that the tank required sandblasting and repainting. The invoice recited "terms C.O.D. upon completion F.O.B.", but it was also agreed that Mr. Coleman could delay picking up the tank indefinitely.

The other three tanks, which were part of the special order, were sold by Welders to a Mr. Ortego of Houma, Louisiana. Welders had contracted with 4-D to sandblast and paint the four cylindrical tanks upon completion of fabrication. The four tanks were delivered to 4-D by Welders in the latter part of September or in October of 1980. At this point we disgress to note that throughout the trial of this matter, 4-D maintained that upon delivery of the tanks to it for sandblasting and painting, Welders failed to indicate that the four tanks had been sold. Subsequent to the delivery of the tanks, 4-D was contacted by Mr. Ortego and three of the tanks were painted green and white to his specifications. Sometime after November 10, 1980, Mr. Ortego picked up the three tanks which were painted green and white. The remaining tank had been previously blasted but was reblasted and repainted solid white.

On December 31, 1980, 4-D's lease of its business premises terminated. 4-D then moved its facilities and the great majority of its equipment from its former location on Daspit Road to the Port of Iberia. The solid white tank remained at the Daspit Road location until January 26, 1981, at which time it was trucked to 4-D's facilities at the Port of Iberia. Sometime after the first of the year, Mr. Ortego received a call from Lee Dugas inquiring as to whether the remaining tank was his. Mr. Ortego informed Mr. Dugas that the remaining tank was not his. Mr. Dugas also inquired as to the value of the tank, expressing an interest in selling the tank to satisfy a debt owed by Welders. On January 30, 1981, Richard Dautreuil met with Lee Dugas to settle a problem that 4-D had with Welders' accounts receivable. Dugas contends that at this meeting, Dautreuil agreed, on behalf of Welders, to transfer ownership of the mud tank in question and four large offshore baskets to 4-D in satisfaction of an outstanding debt of $7,533.95 due by Welders to 4-D.

Subsequently, 4-D began negotiations with Magcobar for the sale of the mud tank. During the negotiations, Mr. Dugas of 4-D informed a Mr. Ray of Magcobar that the tank belonged to Richard Dautreuil of Welders and that 4-D was selling the equipment with the consent of Dautreuil to satisfy a debt. The parties agreed on a price and that the tank would be repainted orange and white, the Magcobar flag colors. A check was issued for the stipulated amount through Magcobar's Houston office and Magcobar took possession of the tank on or about March 14, 1981.

Just prior to that date, Harper had begun negotiations with Frances Drilling Fluids for the lease of the mud tank. The deal was to be consummated upon visual inspection of the tank. Thereafter, on or about March 15, 1981, Mr. Coleman went to 4-D in search of the tank. Upon learning that the tank had been repainted the Magcobar flag colors and was no longer in 4-D's possession, Mr. Coleman and Mr. Cart went to Magcobar in search of the tank. Upon discovering the tank at Magcobar, Mr. Cart advised Mr. Ray that he *100 believed the tank belonged to Harper. Mr. Ray testified that he was also contacted by Richard Dautreuil who advised him that he had sold that particular tank to Harper. Magcobar thereafter, with 4-D's consent, returned the tank to 4-D and stopped payment on their check. Mr. Dugas, after regaining possession of the tank, refused to deliver same to Harper. Harper was therefore unable to consummate the rental agreement with Frances Drilling Fluids or to acquire possession of the tank and this suit followed.

In written reasons for judgment, the trial judge made the following findings pertinent to this appeal:

1. The tank in question was the tank purchased by Harper from Welders;
2. 4-D never acquired ownership of the tank; and
3. Plaintiff failed to prove its claims for conversion, inconvenience, distress and attorney's fees.

Based upon the aforestated findings, the trial court concluded that substantial justice would be effected between the parties by ordering a return of the tank by 4-D to Harper with an allowance of damages to Harper for the loss of use of the tank at the rate of $10.00 per day for a period of 120 days.

LIABILITY OF 4-D

On appeal, 4-D makes the following assignments of error:

1. The trial judge erred in finding that the tank possessed by 4-D was the tank which Harper purchased from Welders.
2.

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Bluebook (online)
451 So. 2d 96, 1984 La. App. LEXIS 8742, Counsel Stack Legal Research, https://law.counselstack.com/opinion/harper-oil-field-services-v-dugas-lactapp-1984.