Hebert v. State Farm Ins. Co.
This text of 588 So. 2d 1150 (Hebert v. State Farm Ins. Co.) 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.
Opinion
Arlene Guidry HEBERT and Gary J. Hebert, Individually and as Administrator of his Minor Children, Dodie Hebert and Dana Hebert
v.
STATE FARM INSURANCE CO., et al.
Court of Appeal of Louisiana, First Circuit.
*1151 Joshua A. Tilton, Mandeville, for plaintiffs and appellants, Arlene G. Hebert et al.
Jerald P. Block, Thibodaux, for appellee and intervenor.
Before COVINGTON, C.J., and SAVOIE and LeBLANC, JJ.
LeBLANC, Judge.
This appeal concerns an intervention in a damage suit by a discharged attorney seeking attorneys fees out of the proceeds of a settlement. The trial court ruled in favor of intervenor and plaintiffs have now appealed.
FACTUAL BACKGROUND
On September 4, 1985, plaintiff, Gary J. Hebert injured his back while working on a vessel owned by his employer, Nolty J. Theriot, Inc. (Nolty Theriot). Mr. Hebert was allegedly a Jones Act seaman working as a mate at the time of the accident. After a period of conservative medical treatment, Mr. Hebert returned to work on light duty.
Subsequently, on October 31, 1985, he was enroute to work as a passenger in a vehicle owned by his employer and driven by a co-employee, Mr. Guidry, which was involved in a collision with another vehicle driven by Suzanne Yancey. Mr. Hebert sustained additional injury to his back in this collision. Ultimately, he had three back surgeries and has not returned to work since that time.
Mr. Hebert and his wife, Arlene G. Hebert, engaged intervenor, Jerald P. Block, as their attorney under a contingency contract on August 15, 1986. Mr. Block filed a consolidated suit against Nolty Theriot for the September 4, 1985 work accident and against Mr. and Mrs. Yancey for the October 31, 1985 vehicular accident. In addition, he performed various other acts in furtherance of this suit until he was discharged by plaintiffs on April 20, 1988. As of that time, Mr. Block had obtained the proceeds of a $15,000.00 disability policy for plaintiffs, and State Farm Insurance Company, Mrs. Yancey's liability insurer, had deposited $25,000.00 into the registry of the court.
Plaintiffs thereafter engaged Joshua A. Tilton as their attorney. Mr. Tilton filed two amending and supplemental petitions in this suit. In the first amending petition[1], *1152 Mr. Tilton alleged Nolty Theriot was liable under the Jones Act for the injuries Mr. Hebert sustained in the October 31, 1985 accident because Mr. Guidry was guilty of negligence in addition to that of Mrs. Yancey. In his second amending petition[2], Mr. Tilton added the State of Louisiana, through the Department of Transportation and Development, as a defendant, alleging it was also guilty of fault contributing to the October 31, 1985 accident.
Plaintiffs ultimately settled their claim against Nolty Theriot and its insurer for a total of $125,000.00. Additionally, as part of the settlement plaintiffs also received the $25,000.00 deposited in the court registry by State Farm. Trial was also held on plaintiffs' claim against the State, which resulted in judgment in favor of the State dismissing plaintiffs' suit.[3]
On May 9, 1988, Mr. Block filed an intervention in these proceedings seeking a one-third contingency fee pursuant to his contract with plaintiffs or, in the alternative, attorneys fees on a quantum merit basis. A hearing on the intervention was scheduled for 9:00 o'clock a.m. on December 20, 1989. Mr. Tilton failed to appear in court at the scheduled time, although he did telephone the court's clerk that he had been detained by a traffic accident. At 10 o'clock a.m., the trial court began the hearing without him. However, both plaintiffs were present and were permitted to testify, as well as to question Mr. Block. Mr. Tilton still had not appeared when the hearing concluded.
At the conclusion of the hearing, the trial court rendered judgment awarding Mr. Block attorney fees of $21,666.66. This amount consisted of one-third of the one-third contingency fee due on the plaintiffs' total settlement of $150,000.00, equalling $16,666.66, plus $5000.00, as a one-third contingency fee on a $15,000.00 disability policy collected on plaintiffs' behalf by Mr. Block prior to his discharge. Mr. Block was also awarded $656.10 in expenses. Judgment to this effect was signed on January 2, 1990. This appeal followed.
ISSUES
1. Whether the trial court erred in concluding intervenor was entitled to an award of attorney fees on the basis that his efforts contributed to the settlement obtained by plaintiffs?
2. Whether the trial court erred in awarding attorney fees to intervenor because there was insufficient proof of record as to the amount of work performed by intervenor?
3. Whether the trial court erred in holding the hearing on Mr. Block's intervention in the absence of plaintiffs' counsel?
ISSUE ONE
An attorney discharged by his client, unless discharged for cause, is entitled to payment for his services on a quantum meruit basis. Where the client subsequently retains another attorney, the fee should be apportioned according to the respective services and contributions of each attorney, as well as any other relevant factors. Sims v. Selvage, 499 So.2d 325, 329 (La.App. 1st Cir.1986); writ not considered, 503 So.2d 7 (1987). The trial court has great discretion in apportioning attorney fees in such circumstances, and such an award will not be modified on appeal absent an abuse of that great discretion. Solar v. Griffin, 554 So.2d 1324, 1328 (La. App. 1st Cir.1989), writ denied, 558 So.2d 582 (1990); Sims, supra.
In the instant case, plaintiffs maintain that the trial court erred in awarding Mr. Block attorney fees on a settlement not the result of his work efforts. They contend *1153 the settlement obtained from Nolty Theriot and its insurer was made to settle their Jones Act claim based on the vehicular accident, which was asserted by their second attorney, Mr. Tilton, and not the original Jones Act claim arising from Mr. Hebert's work accident on September 4, 1985, which was the only Jones Act claim made by Mr. Block.
Plaintiffs' claim that the settlement was due exclusively to their second Jones Act claim against Nolty Theriot, rather than to a combination of the two Jones Act claims, is entirely speculative and, furthermore, lacks support in the record. Firstly, plaintiffs made no attempt, through testimony of Nolty Theriot representatives or otherwise, to prove this contention. Secondly, this entire argument is based on the premise that the driver of the Nolty Theriot vehicle was guilty of negligence contributing to the collision. However, at the trial of plaintiffs' claim against the State based on the vehicular accident, the trial court made the following observations in reaching a conclusion that the accident was due solely to Suzanne Yancey's negligence: "I think the overwhelming thing is that the Nolty Theriot vehicle operated by Mr. Guidry was not speeding at the time of the accident. I feel that the overwhelming evidence is that Mr. Guidry was operating the vehicle correctly and was not a cause of the accident that occurred." Of course, the settlement with Nolty Theriot was reached prior to this trial, before the parties knew the conclusions the trial court would reach with respect to this issue. Nevertheless, the court's observations tend to belie plaintiffs' argument that the settlement was due solely to the Jones Act claim based on the vehicular accident.
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588 So. 2d 1150, 1991 WL 226426, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hebert-v-state-farm-ins-co-lactapp-1991.