Meyer & Associates, Inc. v. Coushatta Tribe of Louisiana

185 So. 3d 222, 2016 WL 385308
CourtLouisiana Court of Appeal
DecidedJanuary 27, 2016
DocketNos. 14-1109, 14-1114
StatusPublished
Cited by7 cases

This text of 185 So. 3d 222 (Meyer & Associates, Inc. v. Coushatta Tribe of Louisiana) 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
Meyer & Associates, Inc. v. Coushatta Tribe of Louisiana, 185 So. 3d 222, 2016 WL 385308 (La. Ct. App. 2016).

Opinion

PETERS, J.

Bln these* consolidated appeals, the Coushatta Tribe of Louisiana appeals a number of trial court judgments which had the ultimate effect of awarding- Meyer & Associates, Inc. $10,998,250.00 in contractual damages, $5,585,573.00 in attorney fees, ahd $57,662.34 in court costs. Meyer & Associates, Inc.- answered the appeal seeking a $1,902,339.65 increase in the damage award. For the following reasons, we reverse the trial court’s judgments on certain summary judgment issues, vacate the trial court judgments on the merits, and remand the matter to the trial court for further proceedings.-

DISCUSSION OF THE RECORD

The Coushatta Tribe of Louisiana (hereinafter sometimes referred to as “the Tribe” or “CTOL” 1) is a federally recognized Indian tribe governed by an elected four-member Tribal Council and a separately elected Tribal Council Chairperson. The Tribe operates' its governmental and business activities from its offices in Allen Parish,” Louisiana. Meyer & Associates, Inc. (hereinafter sometimes referred to as “Meyer & Associates” or “the engineering firm”) is a Louisiana corporation formed to provide professional engineering services to its clients. Its offices,are located,in Calcasieu Parish, Louisiana.

In July of 2001,2 the Tribe and Meyer & Associates entered into a twenty-seven page contract (hereinafter referred to as the “original contract” or the “General Agreement”), wherein the engineering firm agreed to provide consulting services to the Tribe relating to its ongoing capital improvement project at its casino facility located in Kinder, Louisiana. The issues in these consolidated 12appeals originate from subsequent modifications made to that General Agreement.

In early 2002, members of the Tribal Council and Richard Meyer, the engineering firm’s vice president, beg'an preliminary discussions concerning the possibility of designing and , constructing a facility to generate electrical power to service the needs of the casino, the individual members of the Tribe, and potential customers on the open market. To that end, and because Meyer & Associates had no expe[225]*225rience or in-house expertise in developing or implementing such a project, Mr. Meyer began assembling a team of experts (hereinafter sometimes referred to as the “project team” or “team”) to. join with the engineering firm and the Tribe in pursuing this new goal.

The project team began exploring the possibilities of developing an electrical power program; and in May of 2002, the team circulated its preliminary, findings to the Tribal Council in the form of a Concept Stage Benchmark Feasibility Study (Feasibility Study). Over the next six months, the team continued to assess, update, and modify its initial findings; and at the Tribal Council’s December 17, 2002 meeting, Mr. Meyer presented an updated version of the original Feasibility Study for the Tribal Council to consider. This presentation led to the Tribal Council, at its January 14, 2003 meeting, unanimously adopting a formal resolution (hereinafter referred to as “the Resolution”) authorizing the development of an electrical power program.3 Among other things, the eight-page Resolution authorized “[t]he Chairman of the CTOL Tribal Council or his Designee ■... to negotiate and execute ... all necessary additional Agreements with Meyer and/or to execute Work Authorizations either under the existing General | sAgreement or any additional Agreement with Meyer to provide” the services required for the completion of the project. As a special condition, the Resolution limited the Tribe’s financial obligation in the preliminary phase of the project to $3,375,000.00 and its financial obligation in the project as a whole to an additional $10,000,000.00.

' The Resolution further provided that upon the completion of Phase 2 activities, “[t]he CTOL reservés all rights at the time of review to agree to a projected return on investment and to proceed with Phase 3 Program Activity or to modify the Program to achieve the investment return desired or to stop project activity and not execute any final agreements.” To emphasize this safeguard, the Resolution provided that “[t]his statement shall be included in all appropriate agreements authorized under this resolution.”

As an additional special condition, the Resolution (parenthetical omitted) provided that “[a]ll agreements to be executed by the CTOL shall include appropriate and reasonable Termination Provisions that are' generally consistent with the Standards of the Power Industry for Development Programs of this type.” The Resolution contained the signatures ■ of Lovelin Poncho as Chairman; William Worfel as Vice Chairman; Bertnéy Langley as Secretary-Treasurer; and Leonard Battise and Harold John as Tribal Council Members.

Chairman Poncho represented the Tribe and Mr. Meyer represented , the engineering firm in the initial subsequent negotiations. Their efforts resulted in the execution of a nine-page interim supplemental agreement (hereinafter referred to as the “Interim Agreement”)' which modified the General Agreement to include the electrical power project. This Interim Agreement had an effective date of January ]414, 2003;4 incorporated the specifics of the [226]*226General Agreement “except as amended, supplemented, or clarified” in the Interim Agreement; set forth the obligations of the respective parties with respect to an early termination of the project; and provided that the electrical power project would be developed in five phases:

• Phase 1 — Initial Benchmark Study
• Phase 2 — Preliminary Phase Services
• Phase 3 — Engineer/Procure/Construct (ÉPC Phase) •
• Phase 4 — Commissioning Phase (Start-up)
• Phase 5 — Management and Operation Phase,

Language in the Interim Agreement made it clear that the parties contemplated executing a definite final agreement for Phases 3, 4, and 5 before work was completed on Phase 2. At the same time, it provided that until the parties reached a final agreement, the Interim Agreement and/or Work Authorizations arising under the Interim Agreement would bind the parties and govern the project. The Interim Agreement further provided that in the event a subsequent final agreement was never executed, it would become the final agreement binding on all parties; and that the terms of Work Authorizations issued pursuant to the General Agreement or Interim Agreement would have the effect of amending the terms of the agreements in place at the time the Work Authorizations were issued. In fact, the parties attached the first of what would ultimately , be three Work Authorizations to the Interim Agreement.

Among many other conditions and provisions, the Interim Agreement also provided that its contents would be “governed and construed under the laws of the State of Louisiana[,]” that “any dispute arising [under it] shall be heard by. a court |sof competent jurisdiction in the Parish of Allen,. or any other Parish mutually agreed to,” and that the Tribe specifically waived sovereign immunity. ■

The termination provisions are'found in Section 1.3 of the Interim Agreement and read as follows:

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Bluebook (online)
185 So. 3d 222, 2016 WL 385308, Counsel Stack Legal Research, https://law.counselstack.com/opinion/meyer-associates-inc-v-coushatta-tribe-of-louisiana-lactapp-2016.