Henry v. Greater Ouachita Water Co.

207 So. 3d 1127, 2016 La. App. LEXIS 1870
CourtLouisiana Court of Appeal
DecidedOctober 12, 2016
DocketNo. 50,750-CW
StatusPublished

This text of 207 So. 3d 1127 (Henry v. Greater Ouachita Water 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.

Bluebook
Henry v. Greater Ouachita Water Co., 207 So. 3d 1127, 2016 La. App. LEXIS 1870 (La. Ct. App. 2016).

Opinion

BROWN, CHIEF JUDGE.

|, Plaintiffs, Quentin Thomas Henry, et al., filed a writ with this Court complaining of a judgment rendered on October 15, 2015, by the district court granting defendant’s exception of lack of subject matter jurisdiction as to all of plaintiffs’ claims against the defendant water service provider, and staying the pending proceedings until plaintiffs’ administrative remedies regarding their water service were exhausted with the Louisiana Public Service Commission (“LPSC”). This Court granted the writ and converted it to the instant appeal.1

For the reasons set forth below, we reverse the ruling of the lower court granting the defendants’ exception of lack of subject matter jurisdiction and staying the proceedings. Plaintiffs may proceed with their claims in the district court.

Facts and Procedural History

Plaintiffs are contract customers of defendant or household members of the homes defendant contracted with to provide service. Defendant, Greater Ouachita Waterworks, Inc. (“Greater Ouachita”), provides water service to plaintiffs at then-homes and/or places of employment. On August 4, 2015, plaintiffs filed a petition for damages and an injunction related to the water supplied by Greater Ouachita, complaining that the water provided by defendant was brown in color, foul-smelling, and unfit for use or consumption. Plaintiffs’ claims included breach of contract, negligence, breach of warranty, trespass, nuisance, violation of duties imposed under the | gLouisiana Products Liability Act, redhibition, and violations of state environmental and other applicable laws.

Plaintiffs sought general damages for: (1) costs sustained in purchasing water filtration devices and alternative water sources; (2) costs incurred repairing and replacing water piping systems, water tanks, and clothes damaged by the unfit water; (3) the diminution in value to plaintiffs’ properties; and (4) a refund of all payments plaintiffs made to Southwest under their contracts for water service. Plaintiffs additionally sought non-pecuniary damages for mental anguish, distress, and inconvenience they experienced when: (1) they were unable to use the water; (2) them clothes were ruined and required replacement; (3) their pipes and appliances were damaged and required repair or replacement; and (4) they had to find other water sources for drinking and daily use. Plaintiffs also sought a permanent injunction requiring Greater Ouachita “to adopt adequate methods in supplying safe drinking water and/or find sources of water that prevent and/or reduce the likelihood of contamination.” Plaintiffs’ petition also alleged that part of their purpose in filing the suit was “to force a change by Greater Oauchita or for another water company [to deliver] safe drinking water as mandated by law.”

On September 11, 2015, Greater Ouachi-ta filed a declinatory exception, and motion to stay, claiming that the Fourth Judicial District Court did not have subject matter jurisdiction over the case, but rather, that exclusive jurisdiction over plaintiffs’ claims rested with the LPSC, which has jurisdiction over claims related to water service as granted by Louisiana constitutional and statutory law. Defendant argued that because the LPSC had exclusive jurisdiction over most, if not all of, the issues in the case, the | scourt should dismiss and/or stay the proceedings under the doctrine of pri[1129]*1129mary jurisdiction until the LPSC determined those matters.

On October 15, 2015, the district court rendered a decision in Frith, et al v. Southwest Ouachita Waterworks, Inc., 50,-749, (the companion case to this appeal) which involved claims identical to those asserted by plaintiffs in the instant case. The court in Frith denied the exception as to the plaintiffs’ tort and breach of contract claims, but granted the exception as to the remaining claims under the jurisdiction of the LPSC. The Frith court found it had concurrent jurisdiction with the LPSC over the plaintiffs’ non-tort and non-contract claims, and that the plaintiffs were first required to exhaust their administrative remedies with the LPSC before seeking district court review of those matters. The Frith court, under the doctrine of primary jurisdiction, stayed the case until the plaintiffs exhausted their administrative remedies for the claims that fell within the jurisdiction of the LPSC.

On October 28, 2015, with leave of the court, plaintiffs in the instant appeal filed an amended petition for damages asserting claims for breach of contract, negligence, trespass, nuisance, and violation of duties imposed by the Louisiana Products Liability Act. Plaintiffs limited their requested relief to monetary amounts for: (1) the cost of purchasing bottled water to substitute for contaminated water; (2) the cost of purchasing water filtration systems; (3) physical injury from consumption of contaminated water; (4) damage to personal belongings resulting from use of the contaminated water; (5) physical damage to plaintiffs’ homes from use of contaminated water, including any damage to water pipes, hot water heaters, tubs, toilets, yards, and gardens; (6) diminution in property value due to the contaminated water; (7) mental anguish, anxiety, and distress over whether plaintiffs. | ¿suffered physical harm from contact with or consumption of the contaminated water, whether plaintiffs should relocate to another area, and/or the costs associated with dealing with the problems associated with the contaminated water; (8) inconvenience and loss suffered from plaintiffs being unable to fully enjoy their property and additional time and costs associated with importing bottled water; and (9) other damages resulting from, defendant’s alleged delictual misconduct and/or breach of contract.

On November 6, 2015, Greater Ouachita renewed its exception of lack of subject matter jurisdiction and motion to stay. Defendant argued that plaintiffs’ claims still included some that were related to the water service that Greater Ouachita provided, over which the LPSC had exclusive jurisdiction. Defendant argued that because plaintiffs alleged in their amended petition that the water was unsafe to drink,- such a determination fell within the jurisdiction of the Louisiana Department of Health and Hospitals (“LDHH”), as the enforcer of the Safe Drinking Water Act and the State Sanitary Code. Defendant again argued that petitioners had to exhaust their administrative remedies with the LPSC and/or the LDHH before bringing their claims to the district court.

The trial court rendered its judgment after a hearing on November 18, 2015, granting defendant’s exception and staying all of plaintiffs’ claims until plaintiffs exhausted their administrative remedies before the LPSC and LDHH.

On December 2, 2015, plaintiffs filed a notice of intent to seek supervisory review of the court’s ruling on defendant’s exception of lack of subject matter jurisdiction and motion to stay. Plaintiffs timely filed for ^supervisory review and this Court granted the writ, ordering the matter to be docketed, briefed, and argued as an appeal.

[1130]*1130Discussion

Plaintiffs argue that the district court erred in granting defendant’s exception because the Louisiana Constitution of 1974 grants jurisdiction over all civil matters to the district courts, including contract claims, tort claims, and claims for damages arising under statutes or code articles.

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Bluebook (online)
207 So. 3d 1127, 2016 La. App. LEXIS 1870, Counsel Stack Legal Research, https://law.counselstack.com/opinion/henry-v-greater-ouachita-water-co-lactapp-2016.