Law Enforcement District of Jefferson Parish Versus Mapp Construction, LLC, Abc Insurance Company, Travelers Casualty & Surety Company, Sizeler, Thompson, Brown Artchitects Project Design Group, LLC and the Xyz Insurance Company

Louisiana Court of Appeal·Decided May 29, 2020·No. 19-CA-543·Unknown

Opinion

LAW ENFORCEMENT DISTRICT OF NO. 19-CA-543 JEFFERSON PARISH FIFTH CIRCUIT

VERSUS COURT OF APPEAL

MAPP CONSTRUCTION, LLC, ET AL STATE OF LOUISIANA

ON APPEAL FROM THE TWENTY-FOURTH JUDICIAL DISTRICT COURT PARISH OF JEFFERSON, STATE OF LOUISIANA NO. 749-646, DIVISION "E"

HONORABLE FRANK A. BRINDISI, JUDGE PRESIDING

May 29, 2020

JUDE G. GRAVOIS

JUDGE

Panel composed of Judges Jude G. Gravois, Robert A. Chaisson, and Hans J. Liljeberg

AFFIRMED JGG RAC HJL

COUNSEL FOR DEFENDANT/APPELLANT, G. M. HORNE, LLC Rene S. Paysse, Jr.

Darren P. Tyus

COUNSEL FOR DEFENDANT/APPELLEE, CENTRIA SERVICES GROUP, LLC Michael M. Meunier Timothy R. McGibboney James A. Collura, Jr.

Justin Scott

GRAVOIS, J.

In this appeal, appellant, third-party plaintiff G.M. Horne Commercial and Industrial, LLC, argues that the trial court erred in granting Centria Services Group, LLC’s peremptory exception of peremption pursuant to La. R.S. 9:2772, dismissing Horne’s third-party demand for indemnity against Centria with prejudice. Horne argues that the trial court erred in categorizing the contract between the parties as a construction contract, subject to the five-year peremptive period found in La. R.S. 9:2772, rather than a sales contract. For the following reasons, we affirm.

FACTS AND PROCEDURAL BACKGROUND This matter arises out of a 2009 construction contract between the Law Enforcement District of Jefferson Parish (“the District”), as owner, and MAPP Construction, LLC, as contractor, for construction of the Jefferson Parish Sheriff’s Office Forensic Crime Laboratory building. To accomplish part of said construction, MAPP entered into a subcontract with Horne to supply and install the “Centria Formawall Dimension System”1 for the exterior walls of the building, along with all of the coordination drawings and shop drawings associated therewith. Horne, a dealer in Centria products, in turn contracted directly with Centria to furnish materials, product application drawings, and delivery of an insulated metal panel system to be manufactured by Centria and installed on the project by a separate contractor.

The laboratory building’s construction was accepted by the District as substantially complete on September 23, 2010, as evidenced by a Certificate of Substantial Completion registered in the mortgage office of Jefferson Parish on October 1, 2010. When the laboratory building experienced substantial external

1 The record reflects that the “Centria Formawall Dimension System” is a patented system.

water intrusion in 2012 following Hurricane Isaac, MAPP made repairs that were later deemed to be insufficient and/or ineffective. The building thereafter continued to experience water intrusion and leakage, ultimately leading to this suit by the District against MAPP and others for breach of contract, filed on May 13, 2015. In turn, on June 12, 2015, MAPP filed a third-party demand against Horne, appellant herein, and others, alleging that Horne is obligated to fully indemnify and reimburse MAPP if and to the extent that the District proves the existence of defects or deficiencies in any of the materials, work, or performance of Horne on the basis of the allegations set forth in the District’s petition and for which MAPP is held liable to the District.

On November 13, 2015, Horne filed a third-party demand against Centria, alleging that Centria was legally obligated to fully indemnify and reimburse Horne “[i]f, and to the extent that [the District] and/or [MAPP] prove the existence of any defects or deficiencies with respect to [Horne’s] performance of its contractual obligations to provide the insulated metal system manufactured by Centria and installed on the Project by a separate contractor, and for which [Horne] is held liable, ... .”

In due course, on December 10, 2018, Centria filed a peremptory exception of peremption, arguing that Horne’s third-party demand for indemnification, filed on November 13, 2015, was perempted under La. R.S. 9:2772, having been filed more than five years after the filing of the Certificate of Substantial Completion in the mortgage office of Jefferson Parish on October 1, 2010.

Horne opposed the exception, arguing that the contract between the parties was one of sale, rather than one of construction, and thus the contract was not subject to the five-year peremptive period found in La. R.S. 9:2772. Multiple reply memoranda and sur-reply memoranda were also filed. The exception was heard on May 22, 2019, after which the parties filed post-trial memoranda. The trial court

ultimately rendered judgment with reasons on July 31, 2019, granting Centria’s exception and dismissing Horne’s third-party demand against Centria with prejudice. This timely appeal followed.

On appeal, Horne argues that the trial court erred in finding that the contract between Horne and Centria was a construction contract, rather than a sales contract, thereby subjecting the contract to the five-year peremptive period found in La. R.S. 9:2772. Horne also argues that the trial court failed to view the facts in a light most favorable to them, as required by law. Horne also seeks a de novo review on appeal. For the following reasons, we affirm.

ANALYSIS2

Standard of review

Peremption is a period of time fixed by law for the existence of a right.

Unless timely exercised, the right is extinguished upon the expiration of the peremptive period. La. C.C. art. 3458. The function of the peremptory exception is to have the plaintiff’s action declared legally nonexistent, or barred by effect of law, and hence this exception tends to dismiss or defeat the action. La. C.C.P. art. 923. Peremption may not be renounced, interrupted, or suspended. La. C.C. art. 3461.

Peremptive statutes are strictly construed against peremption and in favor of the claim. Of the possible constructions, the one that maintains enforcement of the claim or action, rather than the one that bars enforcement should be adopted. Rando v. Anco Insulations Inc., 08-1163 (La. 5/22/09), 16 So.3d 1065, 1083.

The standard of review of a trial court’s ruling on a peremptory exception of prescription generally turns on whether evidence is introduced. DeFelice v. Federated National Insurance Company, 18-374 (La. App. 5 Cir. 7/9/19), 279

2 Horne’s arguments on appeal are interrelated and therefore are addressed together.

So.3d 422, 426 (citing Wells Fargo Financial Louisiana, Inc. v. Galloway, 17-413 (La. App. 4 Cir. 11/15/17), 231 So.3d 793, 800). When no evidence is introduced, appellate courts review judgments sustaining an exception of prescription de novo, accepting the facts alleged in the petition as true. Id. (citing Wells Fargo, 231 So.3d at 800; Lennie v. Exxon Mobil Corporation, 17-204 (La. App. 5 Cir. 6/27/18), 251 So.3d 637, 642, writ denied, 18-1435 (La. 11/20/18), 256 So.3d 994). Normally, when evidence is introduced at a hearing on an exception of prescription, the trial court’s findings of fact are reviewed under the manifest error standard. Id. (citing Wells Fargo, 231 So.3d at 800; Tenorio v. Exxon Mobil Corp., 14-814 (La. App. 5 Cir. 4/15/15), 170 So.3d 269, 273, writ denied, 15-1145 (La. 9/18/15), 178 So.3d 149). However, when evidence is introduced but the case involves only the determination of a legal issue, not a dispute regarding material facts, an appellate court must review the issue de novo, giving no deference to the trial court’s legal determination. Id. (citing Wells Fargo, 231 So.3d at 800; Cawley v. National Fire & Marine Ins. Co., 10-2095 (La. App. 1 Cir. 5/6/11), 65 So.3d 235, 237).

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Law Enforcement District of Jefferson Parish Versus Mapp Construction, LLC, Abc Insurance Company, Travelers Casualty & Surety Company, Sizeler, Thompson, Brown Artchitects Project Design Group, LLC and the Xyz Insurance Company, (La. Ct. App. 2020).

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