Morrison v. Allstar Dodge, Inc.

792 So. 2d 9, 2001 WL 498484
CourtLouisiana Court of Appeal
DecidedMay 11, 2001
Docket2000 CA 0398
StatusPublished
Cited by8 cases

This text of 792 So. 2d 9 (Morrison v. Allstar Dodge, Inc.) 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
Morrison v. Allstar Dodge, Inc., 792 So. 2d 9, 2001 WL 498484 (La. Ct. App. 2001).

Opinion

792 So.2d 9 (2001)

James E. MORRISON and Malia L. Morrison
v.
ALLSTAR DODGE, INC. and Chrysler Corporation.

No. 2000 CA 0398.

Court of Appeal of Louisiana, First Circuit.

May 11, 2001.
Rehearing Denied June 25, 2001.

*11 Robert L. Kleinpeter, Baton Rouge, LA, for plaintiffs-appellees, James E. Morrison and Malia L. Morrison.

E. Wade Shows and Carlos A. Romanach, Baton Rouge, LA, for defendant-appellant, Allstar Dodge, Inc.

BEFORE: FOGG, GUIDRY, and CLAIBORNE,[1] JJ.

CLAIBORNE, Judge.

In this suit concerning the sale of an allegedly defective vehicle, defendant, Allstar Dodge, Inc. (Allstar)[2] appeals a judgment in favor of the purchasers. For the following reasons, we amend in part and, as amended, affirm.

FACTS AND PROCEDURAL HISTORY

The facts in this case were basically uncontested by the parties. On March 28, 1997, Malia L. Morrison (Ms. Morrison), acting with the assistance of her father, James E. Morrison, purchased a 1996 Dodge Avenger ES from Allstar.[3] Aware of Ms. Morrison's desire to purchase a new car "for warranty purposes," Allstar represented the vehicle to be a new vehicle and sold it to Ms. Morrison for $24,025.22.

According to the evidence presented at trial, James Matthews, Ms. Morrison's boyfriend, noted problems with the vehicle beginning the morning after the sale. In lifting the hood, he noted that an extension wrench had been left inside the motor of the car. Upon attempting to remove the license plate from the front of the vehicle, he noted that a fog light was pushed in approximately six inches, the paint was cracked in the area of the blinker lights, and the fender wells were hanging loosely. He informed Ms. Morrison of his findings and they took the vehicle back to Allstar. Ms. Morrison questioned the salesman as to whether the vehicle had been previously damaged and/or repaired. At this time, Ms. Morrison learned that the vehicle had *12 been wrecked and/or damaged during a test drive prior to the sale.

On March 31, 1997, Ms. Morrison took the vehicle to Allstar to be repaired. On April 1, 1997, when she returned to Allstar to retrieve the vehicle, she discovered that the vehicle was being completely repainted. Ms. Morrison demanded a new vehicle that had not been previously damaged. Allstar refused to honor this request.

Subsequently, on April 6, 1997, Ms. Morrison encountered further mechanical difficulties when the alternator belt broke while she was driving the vehicle. As a result, Ms. Morrison had to have the vehicle towed to Allstar for repairs.

On June 6, 1997, the vehicle was returned to Allstar again when Ms. Morrison noticed a loud squealing noise coming from under the hood and smoke coming from inside the engine compartment. On June 11, 1997, James Matthews picked up the vehicle and noted that the squealing noise began again. Ms. Morrison learned that the vehicle had never been repaired. Employees of Allstar failed to inform Ms. Morrison that the vehicle had not been repaired because the necessary parts were on order.

On June 16, 1997, less than three months after the sale, Ms. Morrison met with Paul Landis of Allstar who examined and inspected the vehicle, viewed its condition, and admitted that the vehicle had been wrecked prior to the sale. At that time, Ms. Morrison again demanded a new car. Allstar again refused. Subsequent repairs were attempted, and on Friday, June 27th, the vehicle stopped running completely, making it necessary to have the vehicle towed to Allstar again. Upon completion of repairs on July 3, 1997, Ms. Morrison immediately noted that her horn and alarm system failed to work, and the whistling noise in the front of the vehicle, as well as the noise coming from the speaker area, had not been repaired.

The Morrisons instituted the instant suit in redhibition on July 17, 1997, against Allstar and the manufacturer of the vehicle, Chrysler Corporation.[4] The matter proceeded to trial on March 11, 1999.

At the time of trial, Ms. Morrison was still experiencing irritating and unpleasant noises, including the whistling sounds from wind coming through the doors as well as cracking and popping sounds from one of the speakers. Ms. Morrison drove the vehicle to and from New Orleans everyday (approximately 130 to 140 miles), and she had 40,230 miles on the vehicle as of the date of trial, March 11, 1999.

On August 20, 1999, the trial court issued written reasons finding Allstar in bad faith for failing to disclose the pre-sale damage to the buyers prior to sale of the vehicle. On November 19, 1999, the trial court rendered judgment in favor of the Morrisons and against Allstar, rescinding the sale of the Dodge Avenger and awarding damages in the amount of the full purchase price of $24,025.22. Further, the trial court awarded $6,870.70 in damages for finance charges, $143.64 in damages for expenses incidental to the sale, $3,628.00 for refund of insurance premiums paid, $2,500 in damages for inconvenience, and $7,500.00 in attorney's fees.

From this judgment, Allstar has appealed contending that the trial court erred in: 1) holding that La.R.S. 32:1260 did not apply; 2) denying Allstar's motion for involuntary dismissal; 3) awarding a refund of insurance premiums to plaintiff; 4) denying Allstar's alternative request for *13 credit for use; 5) awarding nonpecuniary damages to plaintiff; 6) finding Allstar in bad faith; 7) awarding excessive attorney's fees to plaintiff; and, 8) refusing to allow Allstar to introduce evidence of its compliance with La.R.S. 32:1260.

APPLICABILITY OF LA.R.S. 32:1260

Allstar asserts that the trial court erred in holding that La.R.S. 32:1260 did not apply in an action for redhibition. (La.Civ. Code arts. 2520 et seq.) This issue is res nova.

La.R.S. 32:1260 provides:

Whenever a new and unused motor vehicle is sold to any person, the seller shall notify the purchaser of any body damage or mechanical damage which the vehicle has sustained that exceeds six percent of the manufacturer's suggested retail price. Such notice shall be in writing and a copy thereof shall be delivered to the purchaser prior to or simultaneous with transfer of the vehicle title.

Allstar contends that under La.R.S. 32:1260, a seller of a new and unused vehicle is obligated to disclose in writing body damage or mechanical damage to a new and unused vehicle when that damage exceeds six percent of the manufacturer's suggested retail price (MSRP). If the damage is six percent or less, the seller owes no such duty to disclose. Allstar argues that the plaintiffs failed to prove that the pre-sale damage to the vehicle in question exceeded six percent of the MSRP and thus, did not prove all essential elements of their redhibition claim.

The Morrisons argue that La.R.S. 32:1260 is part and parcel of the regulations administered by the Louisiana Motor Vehicle Commission and has nothing to do with sales. They contend that La.R.S. 32:1260 is inapplicable in an action in redhibition, and if it could apply, La.R.S. 32:1260 is an affirmative defense which had to be specifically pleaded and not raised in a post-trial memorandum.

The trial court held, and we agree, that La.R.S. 32:1260 is not applicable in a claim for redhibition. "The Louisiana Motor Vehicle Commission Law, La.R.S. 32:1251, et seq., has for its purpose the regulation of the distribution and sale of motor vehicles in the state. La. Motor Veh. Comm. v. Wheeling Frenchman, 235 La. 332, 337, 103 So.2d 464, 466 (1958).

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Bluebook (online)
792 So. 2d 9, 2001 WL 498484, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morrison-v-allstar-dodge-inc-lactapp-2001.