Kershaw v. Deshotel

179 So. 2d 528
CourtLouisiana Court of Appeal
DecidedOctober 27, 1965
Docket1522
StatusPublished
Cited by7 cases

This text of 179 So. 2d 528 (Kershaw v. Deshotel) 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
Kershaw v. Deshotel, 179 So. 2d 528 (La. Ct. App. 1965).

Opinion

179 So.2d 528 (1965)

Emma Nujber KERSHAW et al., Plaintiff and Appellee,
v.
Roy DESHOTEL et al., Defendant and Appellant.

No. 1522.

Court of Appeal of Louisiana, Third Circuit.

October 27, 1965.
Rehearing Denied November 17, 1965.

*529 Cavanaugh, Brame, Holt & Woodley, by Donald E. Walter and Meredith T. Holt, Lake Charles, Knight & Knight, by Herschel N. Knight, Jennings, for defendantsappellants.

C. C. Jaubert, Lake Charles, for plaintiffappellee.

Before FRUGE, HOOD and CULPEPPER, JJ.

CULPEPPER, Judge.

This case and Suire et al. v. Travelers Indemnity Company et al. La.App., 179 So.2d 532, are consolidated damage suits arising out of a collision between a Ford stationwagon, driven by Ambrose G. Suire, and a 1956 Oldsmobile, driven by Roy Deshotel. Plaintiffs are occupants, or heirs of deceased occupants, of the Suire vehicle. Defendants are Deshotel and his alleged insurer, Travelers Indemnity Company. From an adverse judgment on the merits the defendant insurer alone appeals. Plaintiffs answered the appeals, seeking increases in their respective awards.

The principal issues are insurance coverage and the quantum of damages.

The general facts are that on the afternoon of Saturday, April 14, 1962, Mr. Roy Deshotel went to Oustalet Ford, Inc., to purchase a used car. Certain negotiations with their salesmen took place. One of the principal issues is whether these negotiations culminated that Saturday afternoon in the sale of the 1956 Oldsmobile for $545, or whether the completion of the sale was suspended by certain conditions until after the accident, which occurred at about 6:30 p. m. that night. The defendant, Travelers Indemnity Company, carried liability insurance for Oustalet Ford, Inc. Hence, the coverage issue depends on whether Oustalet sold the automobile to Deshotel before the accident. More detailed facts concerning the nature of the transaction will be discussed hereinafter.

At about 4:00 p. m. Deshotel drove the 1956 Oldsmobile out of Oustalet's place of business in Jennings. He picked up his then fiance, Verna Fontenot, and they later drove out on Highway 90. Deshotel contends he turned the wheel over to his fiance, but the evidence clearly supports the finding of the district judge that Deshotel was driving.

While going west on Highway 90, Deshotel drove into the wrong lane of traffic and there struck the Suire stationwagon, which was traveling east. Two occupants of the Suire vehicle received injuries from which they died, and others received lesser injuries.

The evidence shows clearly that the sole cause of the accident was the negligence of Deshotel in driving into the wrong lane of traffic.

We will first discuss the issue of insurance coverage. The pertinent facts are as follows: On arrival at Oustalet that Saturday afternoon, Deshotel told the salesman he was going to receive a considerable sum of money from a workmen's compensation settlement. He asked if Oustalet would sell him a car, with the understanding that payment would come later from the settlement funds. Deshotel then selected the 1956 Oldsmobile and they agreed on a price of $545. The salesman verified by a telephone call to Deshotel's attorney that the compensation settlement was forthcoming and Deshotel executed an assignment, authorizing the attorney to withhold for Oustalet the sum of $545 from Deshotel's share of the settlement.

*530 Deshotel then signed a form, prepared by Oustalet, designated at the top of the page as a "Buyer's Order". This document stated that Deshotel bound himself to purchase the automobile for $545. It also contained the following provisions:

"The above comprises the entire agreement to this purchase and no other agreement of any kind, verbal understanding or promise whatsoever, will be recognized.
"This order is not valid unless signed and accepted by Dealer and approved by a responsible Finance Company as to any deferred balance."

Also, there is printed in large black capital letters at the bottom of the "Buyer's Order" the following language: "THIS IS NOT AN ORDER UNTIL ACCEPTED BY AN OFFICIAL OF THE COMPANY".

The Buyer's Order form was signed only by Deshotel. It was not signed by any person on behalf of Oustalet Ford, Inc.

The salesman for Oustalet testified he intended and understood the sale to Deshotel was complete on that Saturday afternoon. He said no official of the company was present, so he followed the previously approved procedure of having another salesman orally approve the deal. He testified the "Buyer's Order" was signed by Deshotel purely for bookkeeping purposes. Oustalet's general manager, Mr. Amar Benoit, testified that although he did not see the "Buyer's Order" until the following Monday morning, the company would stand by a deal made by their salesmen, under the company approved procedure of having two salesmen approve it, as they did in this case. Deshotel also testified that he understood the sale was complete on Saturday afternoon.

As regards payment for the car, the evidence shows that on the following Friday, April 19, 1962, the workmen's compensation settlement was approved by the court and Oustalet received the $545 in payment of the automobile.

Nevertheless, Mr. Benoit, Oustalet's general manager, testified in a pretrial deposition that he considered the "Buyer's Order" comprised the entire agreement, as stated on its face. He said the purpose of requiring the purchaser to sign the order was to "keep a salesman from making a verbal agreement, you might say, other than the document, that the document states." The manager also testified in this deposition that he did not consider the order as binding on Oustalet unless it was signed by an official of the company and approved by the finance company as to any deferred balance.

The trial judge noted particularly that the only written evidence of this transaction is the Buyer's Order. Oustalet prepared this form and required Deshotel to sign it. The provisions thereof are clear and free of ambiguity. It is binding on Deshotel to purchase the automobile, but it is not binding on Oustalet until it is approved and signed by an official of the company and by a finance company as to any deferred balance. Despite the testimony at the trial, the deposition of the manager taken before the trial shows clearly that this was the purpose, intention and understanding of Oustalet as to the effect of the Buyer's Order.

The true purpose and legal effect of this Buyer's Order is demonstrated by considering several things which could possibly have occurred: (1) Deshotel might have refused the workmen's compensation settlement or the district judge might have refused to approve it. (2) Deshotel might have reneged on the assignment of a portion of his settlement funds, since such an assignment is unlawful under the express provisions of our workmen's compensation act. (3) The officials of Oustalet Ford, Inc. might have refused to approve the transaction. We think the trial judge correctly concluded, after listing some of these possibilities, that "under these circumstances would not Oustalet Ford, Inc. have *531 seen fit to exercise its rights, which it clearly had under the Buyer's Order form, to state that no sale had taken place and refused to issue title papers?"

The applicable law is clear. LSA-C.C. Article 2471 provides: "A sale, made with a suspensive condition, does not transfer the property to the buyer, until the fulfillment of the condition. * * *" The case of Jackson Motors, Inc. v.

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Cite This Page — Counsel Stack

Bluebook (online)
179 So. 2d 528, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kershaw-v-deshotel-lactapp-1965.