Kops v. Lee

871 So. 2d 1187, 2004 WL 727917
CourtLouisiana Court of Appeal
DecidedMarch 31, 2004
Docket2003-CA-1407
StatusPublished
Cited by9 cases

This text of 871 So. 2d 1187 (Kops v. Lee) 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
Kops v. Lee, 871 So. 2d 1187, 2004 WL 727917 (La. Ct. App. 2004).

Opinion

871 So.2d 1187 (2004)

John Michael KOPS
v.
Gary A. LEE, John M. Futrell, Richard M. Perles, Kops, Lee, Futrell & Perles, L.L.P. and Lee, Futrell & Perles, L.L.P.

No. 2003-CA-1407.

Court of Appeal of Louisiana, Fourth Circuit.

March 31, 2004.

*1188 Robert A. Kutcher, Nicole S. Tygier, Patricia D. Tunmer, Chopin, Wagar, Cole, Richard, Reboul & Kutcher, Metairie, LA, for Plaintiff/Appellant.

Mitchell J. Hoffman, Joseph E. Windmeyer, Jr., Lowe, Stein, Hoffman, Allweiss & Hauver, L.L.P. and Elizabeth J. Futrell, Thomas A. Casey, Jr., Jones, Walker, Waechter, Poitevent, Carrere & Denegre, New Orleans, LA, for Defendants/Appellees.

(Court composed of Chief Judge JOAN BERNARD ARMSTRONG, Judge CHARLES R. JONES, and Judge Pro Tempore MOON LANDRIEU).

MOON LANDRIEU, Judge Pro Tempore.

The plaintiff, attorney John Michael Kops, appeals a partial summary judgment dated October 28, 1999, in which the trial court dismissed Kops' claims for declaratory judgment, declaring that the partnership agreement was an absolute nullity. We affirm.

Facts

The plaintiff is a former partner of Kops, Lee, Futrell & Perles L.L.P., n/k/a Lee, Futrell & Perles, L.L.P. The plaintiff claims that he had the largest ownership percentage of the partnership, and that he initially contributed more capital to the partnership than any other partner. The former firm commenced in April 1993, and a written partnership agreement was signed by the partners in July 1995.

In May or early June 1997, the plaintiff asserts that disputes and discussions took place concerning other partners who wanted a greater portion of the partnership income allocated to them. Mr. Kops informed his partners that he was interested in terminating his involvement with the partnership or retiring. Mr. Kops asserts that discussions continued, but Mr. Kops did not leave the partnership and continued to practice law with the firm.

Mr. Kops claims he never withdrew but offered a proposal for practicing independent of the partnership or retiring. Mr. Kops maintains that his proposal resulted in his expulsion from the partnership and the confiscation of the value that he brought to it.

Mr. Kops avers that the defendants used partnership funds to register a website on behalf of the new entity, Lee, Futrell & Perles, and deposited partnership funds into an investment account at Smith Barney, without informing Mr. Kops or providing him with signature authority on the account.

Afterwards, Mr. Kops was given notice on October 29, 1997 of a special partnership meeting scheduled for October 31, 1997. The purpose of the meeting was to consider Mr. Kops' withdrawal from the partnership or alternatively, to terminate or expel Mr. Kops from the partnership pursuant to Paragraph 8.6 of the partnership agreement. The partners voted to terminate Mr. Kops from the partnership. The partners determined that Mr. Kops was entitled to receive the value of his capital account pursuant to the terms of the partnership agreement.

Procedural History

On November 24, 1997, Mr. Kops filed his petition for preliminary and permanent injunction, declaratory judgment and other relief against his former law partners and *1189 the new law firm. Mr. Kops claimed that the firm's original partnership agreement was a nullity, and that he was entitled to the value of his ownership interest in the total assets of the firm, rather than the value of his capital account. The defendants filed exceptions and a reconventional demand, and the plaintiff answered.

On November 13, 1998, the defendants filed a motion for partial summary judgment. In its October 28, 1999 judgment, the trial court dismissed counts one through three of the amended petition and Mr. Kops' request for attorney's fees with prejudice. After the trial court decreed that the judgment was final on May 30, 2003, Mr. Kops appealed.

Meanwhile, on March 17, 2000, Mr. Kops filed a second supplemental and amended petition, which added a new count, requesting an accounting of his capital account under the partnership agreement. The defendants answered and filed a reconventional demand for sanctions and attorney's fees against Kops. The plaintiff answered.

Issues

On appeal Mr. Kops contends that the partnership agreement is an absolute nullity under La. C.C. art. 2030[1] because it violates the rule of public order under Rule 5.6 of the Rules of Professional Conduct[2] and Louisiana's law pertaining to non-competition agreements under La. R.S. 23:921.[3] Mr. Kops maintains that the *1190 *1191 trial court erred in dismissing these claims and accompanying claims for accounting and payment of his interest in the partnership, or appointment of a liquidator.

Standard of Review

Appellate courts review summary judgment de novo, using the same criteria utilized by the trial courts to determine whether summary judgment is appropriate. Independent Fire Ins. Co. v. Sunbeam Corp., 99-2181 (La.2/29/00), 755 So.2d 226, 230. The summary judgment procedure is designed to secure the just, speedy, and inexpensive determination of actions. Two Feathers Enterprises v. First National Bank, 98-0465 (La.App. 4 Cir. 10/14/98), 720 So.2d 398, 400. The summary judgment procedure is favored and shall be construed to accomplish these ends. La. C.C.P. art. 966 A(2). Pursuant to La. C.C.P. art. 966, the initial burden of proof remains on the mover to show that no genuine issue of material fact exists.

A summary judgment shall be rendered forthwith if the pleadings, depositions, answers to interrogatories, and admissions on file, together with the affidavits, if any, show that there is no genuine issue as to a material fact, and that the mover is entitled to judgment as a matter of law. La. C.C.P. art. 966 B. However, if the mover will not bear the burden of proof at trial on the matter that is before the court, the mover's burden does not require him to negate all essential elements of the adverse party's claim. Rather, he need only point out that there is an absence of factual support for one or more elements essential to the adverse party's claim. La. C.C.P. art. 966 C(2).

After the mover has met its initial burden of proof, the burden shifts to the nonmoving party to produce factual support sufficient to establish that he will be able to satisfy his evidentiary burden at trial. La. C.C.P. art. 966(C)(2). When a motion for summary judgment is properly supported, the non-moving party may not rest on the mere allegations or denials of his pleading, but his response, by affidavits or as otherwise provided by law, must set forth specific facts showing that there is a genuine issue of material fact for trial. La. C.C.P. art. 967; Melancon v. D & M Enterprises, 95-0644 (La.App. 4 Cir. 9/28/95), 662 So.2d 54. If the non-moving party fails to meet this burden, there is no genuine issue of material fact, and the mover is entitled to summary judgment. La. C.C.P. art. 966; Schwarz v. Administrators of Tulane Educational Fund, 97-0222 (La.App. 4 Cir. 9/10/97), 699 So.2d 895, 897.

The interpretation of contract provisions is typically a matter of law that properly may be decided on motion for summary judgment. Bolton v. Tulane University of Louisiana, 96-1246 (La.App. 4 Cir. 1/29/97), 692 So.2d 1113; Sanders v. Ashland Oil, Inc., 96-1751 (La.App. 1 Cir. 6/20/97), 696 So.2d 1031.

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871 So. 2d 1187, 2004 WL 727917, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kops-v-lee-lactapp-2004.