Patriot Contstruction & Equipment,llc v. Rage Logistics, LLC

Louisiana Court of Appeal·Decided April 6, 2016·No. CA-0015-1136·Unknown

Opinion

STATE OF LOUISIANA

COURT OF APPEAL, THIRD CIRCUIT

15-1136

PATRIOT CONTSTRUCTION & EQUIPMENT, LLC VERSUS RAGE LOGISTICS, LLC, ET AL.

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APPEAL FROM THE

FIFTEENTH JUDICIAL DISTRICT COURT PARISH OF LAFAYETTE, NO. C-20143941 HONORABLE EDWARD B. BROUSSARD, DISTRICT JUDGE

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JIMMIE C. PETERS

JUDGE

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Court composed of Ulysses Gene Thibodeaux, Chief Judge, Jimmie C. Peters, and John E. Conery, Judges.

AFFIRMED IN PART; REVERSED IN PART;

AND REMANDED.

Murphy J. Foster, III Jacob E. Roussel Breazeale, Sachse & Wilson, LLP P. O. Box 3197 Baton Rouge, LA 70821-3197 (225) 387-4000 COUNSEL FOR PLAINTIFF/APPELLANT:

Patriot Contstruction & Equipment, LLC

Emile Joseph, Jr. David J. Ayo Allen & Gooch, A Law Corporation P. O. Box 81129 Lafayette, LA 70598-1129 (337) 291-1310 COUNSEL FOR DEFENDANTS/APPELLEES:

IDIM Construction, LLC Trahan Construction, LLC City of Youngsville

James P. Doherty, III Becker & Hebert, LLC 201 Rue Beauregard Lafayette, LA 70508 (337) 233-1987 COUNSEL FOR DEFENDANT/APPELLEE:

Rage Logistics, LLC

PETERS, J.

The plaintiff, Patriot Construction & Equipment, LLC, appeals a trial court judgment granting peremptory exceptions of no cause of action and no right of action in favor of IDIM Construction, LLC, Trahan Construction, LLC, and the City of Youngsville, and dismissing the three defendants from the litigation. For the following reasons, we affirm in part, reverse in part, and remand for further proceedings.

DISCUSSION OF THE RECORD

On July 31, 2014, Patriot Construction & Equipment, LLC (Patriot Construction) filed suit against Rage Logistics, LLC (Rage Logistics) on the theories of open account and breach of contract, and against IDIM Construction LLC (IDIM Construction) on the theory of unjust enrichment. Patriot Construction

asserted the amount in dispute to be $56,911.24. Patriot Construction amended its

1

original petition on October 7, 2014, adding Trahan Construction, LLC (Trahan

Construction) and the City of Youngsville (the City) as defendants. This amendment identified the following claims against each of the defendants:

(1) Against Rage Logistics—breach of contract, open account, quantum meruit, and unjust enrichment;

(2) Against IDIM Construction—breach of contract, detrimental reliance, quantum meruit, and unjust enrichment;

(3) Against Trahan Construction—quantum meruit and unjust enrichment; and

(4) Against the City—quantum meruit and unjust enrichment.

IDIM Construction responded to the original petition by filing peremptory exceptions of no cause of action and no right of action. The basis of the exceptions was the assertion that Patriot Construction failed to comply with the notice

1 Patriot Construction FAX-filed its supplemental and amending petition on October 7, 2014, with the original being filed on October 10, 2014.

requirements of Part III of the Louisiana Public Works Act, La.R.S. 38:2241, et.

2 seq. After the filing of the supplemental and amending petition, Trahan

Construction and the City joined IDIM Construction in filing new peremptory exceptions of no right and no cause of action, again based on Patriot Construction‟s failure to comply with the requirements of the Louisiana Public Works Act.

Following a hearing on the exceptions, wherein no evidence was introduced, the trial court granted both exceptions as to all three defendants and dismissed Patriot Construction‟s claims against them. The trial court executed a written

judgment to this effect on August 4, 2015, and issued written reasons for judgment

3

on August 10, 2015. Thereafter, Patriot Construction perfected this appeal,

asserting two assignments of error:

1. The trial court erred when it held that Patriot (a material supplier) did not have a right of action or cause of action for a contractual claim against IDIM (a subcontractor) for amounts due to Patriot for materials supplied in connection with a public works project, when Patriot alleged a direct contractual relationship between Patriot and IDIM.

2. In the event that the Court ultimately finds that Patriot does not have a valid contract directly with IDIM, thereby excluding Patriot as a claimant under the Public Works Act, the trial court erred when it held that Patriot (a material supplier) does not have a cause of action in equity against IDIM (a subcontractor), Trahan (the general contractor), and the City (the owner) to the extent that those entities are holding the payment due to Patriot for materials supplied in connection with a public works project.

2 Part III of the Act is entitled “CLAIMS OF SUBCONTRACTORS, MATERIALMEN, AND LABORERS ON PUBLIC WORKS.”

3 The written reasons for judgment were issued at the request of Patriot Construction.

OPINION

Exceptions of no right and no cause of action are both peremptory exceptions, which may be raised pursuant to La.Code Civ.P. art. 927, and the standards for reviewing judgments addressing these exceptions are well settled. In Miller v. Thibeaux, 14-1107, pp. 5-6 (La. 1/28/15), 159 So.3d 426, 430, the supreme court set forth the standard pertaining to the exception of no right of action, as follows:

Except as otherwise provided by law, an action can be brought only by a person having a real and actual interest, which he asserts.

LSA-C.C.P. art. 681. See also Reese v. State Department of Public Safety and Corrections, 03-1615 (La.2/20/04), 866 So.2d 244, 246.

The function of the exception of no right of action is to determine whether the plaintiff belongs to the class of persons to whom the law grants the cause of action asserted in the suit. Id. (citing LSA-C.C.P.

art. 927). The focus in an exception of no right of action is on whether the particular plaintiff has a right to bring the suit, but it assumes that the petition states a valid cause of action for some person and questions whether the plaintiff in the particular case is a member of the class that has a legal interest in the subject matter of the litigation. Id. For purposes of the exception, all well-pleaded facts in the petition must be taken as true. Eagle Pipe and Supply, Inc. v.

Amerada Hess Corporation, 10-2267 (La.10/25/11), 79 So.3d 246, 253.

With regard to the exception of no cause of action, the supreme court stated the following in Scheffler v. Adams & Reese, LLP, 06-1774, pp. 4-5 (La. 2/22/07), 950 So.2d 641, 646-47:

As used in the context of the peremptory exception, a “cause of action” refers to the operative facts which give rise to the plaintiff‟s right to judicially assert the action against the defendant. Ramey v.

DeCaire, 03-1299, p. 7 (La.3/19/04), 869 So.2d 114, 118; Everything on Wheels Subaru, Inc. v. Subaru South, Inc., 616 So.2d 1234, 1238 (La.1993). The purpose of the peremptory exception of no cause of action is to test the legal sufficiency of the petition by determining whether the law affords a remedy on the facts alleged in the petition.

Ramey, at 7, 869 So.2d at 118; Everything on Wheels Subaru, Inc., 616 So.2d at 1235. No evidence may be introduced to support or controvert the exception of no cause of action. LSA-C.C.P. art. 931.

The exception is triable on the face of the pleadings, and, for purposes of resolving the issues raised by the exception, the well-pleaded facts

in the petition must be accepted as true. Fink v. Bryant, 01-0987, p. 4 (La.11/28/01), 801 So.2d 346, 349; City of New Orleans v. Board of Commissioners of Orleans Levee District, 93-0690, p. 28 (La.7/5/94), 640 So.2d 237, 253. The issue at the trial of the exception is whether, on the face of the petition, the plaintiff is legally entitled to the relief sought. Ramey, at 7, 869 So.2d at 118.

Louisiana retains a system of fact pleading, and mere conclusions of the plaintiff unsupported by facts will not set forth a cause or right of action. Montalvo v. Sondes, 93-2813, p. 6 (La.5/23/94), 637 So.2d 127, 131. The burden of demonstrating that a petition fails to state a cause of action is upon the mover. Ramey, at 7, 869 So.2d at 119; City of New Orleans, at 28, 640 So.2d at 253.

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