Louisiana Power & Light Co. v. Gaupp

232 So. 2d 273, 255 La. 563, 1970 La. LEXIS 4054
CourtSupreme Court of Louisiana
DecidedJanuary 20, 1970
DocketNo. 49838
StatusPublished
Cited by5 cases

This text of 232 So. 2d 273 (Louisiana Power & Light Co. v. Gaupp) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Louisiana Power & Light Co. v. Gaupp, 232 So. 2d 273, 255 La. 563, 1970 La. LEXIS 4054 (La. 1970).

Opinions

BARHAM, Justice.,

[568]*568' Ten expropriation cases were originally ■ consolidated for trial, these five were appealed by the plaintiff, and we granted writs on the application of the plaintiff, Louisiana Power and Light Company, and' consolidated the five cases for argument. The relator complains that the award of just compensation in each of the cases is excessive, and that the award of severance damages upon one tract of land in one of the cases is excessive. These awards made, by the trial court were affirmed by the Court of Appeal. 220 So. 2d 482, 484, 485, 486. None of the defendants made application to this court, so there can be no increase in the awards and the question of severance damages in those cases where not allowed is no longer an issue.

Louisiana Power and Light Company seeks a 100-foot servitude across various tracts owned in full or in part by these defendants for the construction, maintenance, 'and operation of a transmission line or lines consisting of a single, double, or triple line of poles, towers, and structures with such wires, cables, conductors, and other appurtenances necessary for the transmission of electric energy or communication.

The subject properties are situated between Norco and Destrehan. The location of the servitude is about a mile to a mile and a half from the Mississippi River between the Illinois Central Railroad and the Louisiana and Arkansas Railroad, the latter railroad being almost adjacent to Airline Highway (U. S. 61). This servitude generally parallels a United Gas Company pipeline servitude and a Shell Oil Company pipeline servitude and partially overlaps the latter servitude for almost its entire length. The area along the river is rapidly expanding in response to industrial requirements. The subject property, now cutover hardwood land susceptible to overflow, is projected as commercial, residential, and industrial property in the near future although such use would require elevation and drainage of the property.

The trial court and the appellate court found that the highest and best use of the land taken was for the growing of hardwood timber. From a study of the expert testimony as well as from the concession of counsel for the parties in their arguments, we learn that all lands involved are similar in topography arid location, and the highest and best use which can be attributed to all of the tracts is for speculative investment for future development into residential, commercial, and industrial sites. (The defendant Elfer’s Tract No. 2 is an exception which will be treated separately.)

Only three of the witnesses offered as experts by any of the parties gave estimates of value for establishing just compensation which were based upon competent investigation, factual determinations, [570]*570and appraisal methods. Max J. Derbes, although assigning the highest and best use of the land for pasturage and timber growing,. actually used comparables which reflected the market value of property which had been purchased for development into commercial, residential, and industrial complexes, and the final market value assigned by him to the subject properties is far in excess of a value which could be placed upon sometime inundated scrub hardwood timber land such as this for its timber-growing value alone. We find, therefore, that his estimate of values actually reflected his opinion of market value based upon what we consider to be the highest and best use of the property. Mr. Derbes used the market data approach, and after adjusting his comparables to the subject property he arrived at a $750.00 per acre value.

E. A. Tharpe II, a qualified realtor-appraiser, assigned highest and best use of the land as speculative investment for the purpose of commercial, industrial, and residential development. He also used the market data approach, and after adjusting his comparables he assigned $1000.00 per acre as market value for the subject property.

The only other witness who gave an opinion with sufficient foundation to be accorded weight as expert evidence was George Hubert Dejean. Mr. Dejean, although using the market data approach, relied upon an entirely different set of comjsarables and adjusted them to arrive at a $2492.50 per acre value which we round off to $2500.00.

Rejecting the other witnesses’ testimony and finding no reason to test the credibility of these three experts witnesses or the weight to be accorded their testimony, we find it appropriate to average the three estimates, even though they vary considerably, in order to assign market value for the subject properties. We assign market value of all the subject property (except Elfer Tract No. 2) at $1416.67 per acre.

Plaintiff contends that it was error for both courts below to award 100 per cent of land value for the servitude alone when full ownership of the land was not taken. It argues that ownership of property entails the ownership of a bundle of rights, that the exercise of a servitude such as this one for the construction, maintenance, and repair of electric transmission lines carried on poles, structures, and towers leaves a number of rights unencumbered and advantageous to the owner, and that the landowner therefore has reserved to him considerable property value.

The defendants urge in brief that Louisiana Power & Light Company v. Simmons, 229 La. 165, 85 So.2d 251, which cites Texas Pipe Line Company v. Barbe, 229 La. 191, 85 So.2d 260, is supportive of [572]*572their contention for the award of 100 per cent of the value of the land for the mere granting of a servitude. Both the Simmons and the Barbe cases rely upon and cite Texas Pipe Line Co. v. National Gasoline Co. of Louisiana, 203 La. 787, 14 So.2d 636. That case involved a servitude for a “high-pressure gasoline line”, and the organ of the court, while accepting the fact that the value of a 20-foot servitude is less than the total value of the land included in the right of way, stated that there should not be much difference between those values when the rights granted for that particular- servitude were so all-inclusive as to exclude the defendant "from any use or benefit of the area covered by the right-of-way”. (Emphasis supplied) The Simmons and Barbe cases rely-upon that holding without either - noting, or considering the above quoted qualifying terminology-

After review of the cases cited above and other jurisprudence both in the Supreme Court and in the Courts of Appeal', we make the following conclusion. Where the servitude requirements are for use of the land for the construction and maintenance of an electrical transmission line, for ingress and egress, and for clearance- of only such obstructions as might interfere .with or constitute a hazard to the operation- of the transmission line, and where the highest and best use of the property. included within the servitude is for speculatiye investment, the landowner does, out of the whole bundle of rights of ownership, retain property rights which have a fixed value. Even counsel for the defendants admitted in argument before us that these landowners retain valuable ownership rights in the lands after the servitude grant.

The servitude across the above properties overlaps and extends upon a portion of an existing Shell Oil Company servitude.

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Bluebook (online)
232 So. 2d 273, 255 La. 563, 1970 La. LEXIS 4054, Counsel Stack Legal Research, https://law.counselstack.com/opinion/louisiana-power-light-co-v-gaupp-la-1970.