Kristin Pearce v. Ross Forrest Lagarde, Jones Lagarde, LLC, and ABC Insurance Company

Louisiana Court of Appeal·Decided October 7, 2021·No. 2020CA1224·Unknown

Opinion

STATE OF LOUISIANA

COURT OF APPEAL

FIRST CIRCUIT

2020 CA 1224

KRISTIN PEARCE

VERSUS

V" ROS FORREST LAGARDE

Judgment Rendered: OCT0 7 2021 OC

Appealed from the 22nd Judicial District Court In and for the Parish of St. Tammany State of Louisiana

Case No. 2014- 13656

The Honorable William H. Burris, Judge Presiding

Jacques F. Bezou, Jr. Counsel for Plaintiff/Appellant Jacques F. Bezou, Sr. Kristin Pearce Covington, Louisiana and

Charlotte C. Mead New Orleans, Louisiana

Gus A. Fritchie, III Counsel for Defendants/ Appellees Gretchen F. Richards Ross F. Lagarde and Jones Lagarde, LLC New Orleans, Louisiana

Philip F. Cossich, Jr. Counsel for Defendant/Appellee Belle Chasse, Louisiana Durand Seafood, LLC

BEFORE: McDONALD, LANIER, AND WOLFE, JJ.

LANIER, J.

Plaintiff, Kristin Pearce, appeals the March 3, 2020 judgment of the district

court, granting an exception raising the objection of no right of action and an

alternative motion for summary judgment in favor of defendants, Ross Forrest Lagarde (" Ross") and Jones Lagarde, LLC ( sometimes hereinafter collectively referred to as " Lagarde") and dismissing, with prejudice, her legal malpractice claims against Lagarde. For the reasons set forth below, we affirm in part and vacate in part.

FACTS AND PROCEDURAL HISTORY

The termination of a community property regime between Kristin and her former husband Randy Pearce forms the basis of the present legal malpractice action by Kristin against Lagarde. The record reveals that Kristin and Randy were married in April 2002 and lived under a community property regime. In 2006,

Randy started a seafood processing plant called Doran Seafood, L.L.C. (" Doran"). A federal investigation into Doran led to the parties deciding to terminate the community property regime and separate their property such that Randy would become the sole owner of the parties' interest in Doran and in the company that owned the land on which Doran was located, and Kristin would become the sole

owner of all other former community assets, including the family home, the cars and other movables, and their interests in several restaurants.

According to the record, Randy originally spoke with attorney David Lukinovich about terminating the community property regime. However, he

ultimately decided to use Ross for the separate property agreement. During this time, Kristin was working for Baumann & Associates and was the outside certified public accountant (" CPA") for Jones Lagarde. As evidenced by the email string from December 29, 2009, Ross communicated to Randy and Kristin what was required in order to get the separation agreement in place by the end of the year.

He also advised that one of them would need independent counsel to review the

documents.

In a letter dated December 30, 2009, Ross confirmed that Randy and Kristin had been advised that independent counsel was required and that Kristin

had, in fact, consulted with Troy Ingram regarding the implications of the

agreement.

On that same date, the Separation of Property Agreement was signed

by the parties, and a petition for court approval of the agreement was filed by Ross on behalf of both Randy and Kristin.

Following a court hearing on March 16, 2010, a judgment was signed

approving said agreement, terminating the community property regime previously existing between Randy and Kristin. During the court hearing, Kristin confirmed that she was represented by counsel before she entered into the agreement, indicating that Troy Ingram was her counsel. Although Mr. Ingram waived his

appearance for the hearing on March 16, 2010, his name was listed on the

judgment as counsel for Kristin.

Concerning Ross' s representation of her and Randy during this time, Kristin testified that it was her belief that Ross was jointly representing both her and Randy in the partition of the community property regime in 2009. She

acknowledged that she consulted with Mr. Ingram regarding the Separation of Property Agreement, but indicated that she never paid Mr. Ingram, did not sign an engagement letter with him, and did not have an ongoing legal relationship with him either before or after he reviewed the agreement for her. Kristin indicated that

the last communication from Ross regarding the Separation of Property Agreement was a letter dated March 30, 2010, that included his invoice for " professional fees and services rendered." The invoice from Ross, in the amount of $1, 645. 00, was

paid with a check, signed by Kristin, from Randy and Kristin's joint checking account. According to Kristin, Ross ended this letter with the following statement, Should you have any questions regarding this matter please do not hesitate to

contact me."

When asked if she followed the advice to contact him with any questions about the agreement, Kristin replied, "[ e] ssentially," and continued with

her explanation of what transpired in the fall of 2013.

Kristin testified that once the trouble with Doran was over, the parties were experiencing marital problems. Kristin indicated that she and Randy were

contemplating divorce and that Randy wanted to return to the community property regime.

Kristin believed Randy wanted to do this so that he could get half of his

property back. Kristin testified that Randy first contacted Ross to find out what was required to end the separate property regime. According to Kristin, Ross then contacted her by phone to explain what Randy's wishes were.

According to Kristin, Ross told her that " because Louisiana was a default community property state, all we had to do was really orally agree to go back to community. But if we wanted to make it more formal, more proper, we could

address it in an [ email]." Kristin testified in her deposition that Ross called her on her cell phone. However, the phone records introduced into evidence did not reflect that call. When confronted with this issue, Kristin indicated that the call could have been on a land line, as she and Ross would often call each other at work. However, when asked about the phone records from her office, Kristin

indicated that her former employer would not allow access to the records due to the

confidentiality of the records.

On August 16, 2013, Kristin and Randy both sent the following identical email to Ross:

I, [ name], hereby request that the separate property agreement entered into between ... [ spouse name] and myself be terminated. I fully understand that any assets and/ or liabilities incurred during the time the separate property agreement was in force will now become community property.

I, [ name], waive my right to separate legal counsel. I am aware of the conflict of interest you and/ or your firm, Jones Lagarde, LLC has

representing both parties in this matter. I understand it may indeed be in my best interest to seek separate legal counsel.

When asked where the language for the email came from, Kristin testified that Ross told her what to write. She further testified that approximately thirty minutes after the emails were sent, she received another phone call from Ross, at which

time he told her that " all is fine" and that they were " back in community" and

nothing further has to be done." According to Kristin, when she and Randy later divorced in 2013, they " both believed that [ they] were in community property, and they] filed accordingly." However, she indicated that Randy later changed his position on the issue, claiming that the separate property agreement was in full effect.

Kristin added that she did not recall speaking with Brice Jones, Ross' s law partner at the time, about the fact that she and Randy were contemplating going back into the community property regime and how they could facilitate the process. In fact, Kristin testified that she did not consult with any other attorney about the parties returning to community property. However, when questioned

about the five phone conversations she had with Mr. Ingram from July 29, 2013, until August 8, 2013, Kristin did not deny that the calls occurred.

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Kristin Pearce v. Ross Forrest Lagarde, Jones Lagarde, LLC, and ABC Insurance Company, (La. Ct. App. 2021).

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