Pelican Elec. Contractors v. Neumeyer

419 So. 2d 1
CourtLouisiana Court of Appeal
DecidedJune 8, 1982
Docket12783
StatusPublished
Cited by34 cases

This text of 419 So. 2d 1 (Pelican Elec. Contractors v. Neumeyer) 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
Pelican Elec. Contractors v. Neumeyer, 419 So. 2d 1 (La. Ct. App. 1982).

Opinion

419 So.2d 1 (1982)

PELICAN ELECTRICAL CONTRACTORS
v.
John S. NEUMEYER and Roy J. Anselmo, Jr. d/b/a Georgie Porgie's Restaurant and Discotheque.

No. 12783.

Court of Appeal of Louisiana, Fourth Circuit.

June 8, 1982.
Rehearing Denied September 24, 1982.

*2 Robert McDonald, New Orleans, for defendants-appellants.

Frank J. Rabito, New Orleans, for plaintiff-appellee.

Before BARRY, WARD and WILLIAMS, JJ.

WARD, Judge.

This suit arises out of a construction contract for electrical work at Georgie Porgie's, a restaurant and discotheque, located in the Hyatt Regency Hotel in New Orleans. Pelican Electrical Contractors, Inc. [Pelican] has sued the co-owners of Georgie Porgie's, John Neumeyer and Roy Anselmo, Jr., for the unpaid portion of the contract price and for payment of "extras" supplied during construction. Neumeyer and Anselmo's defenses and claims will be discussed in detail later, but essentially they have denied owing money under the contract or for any "extras," and they have reconvened, seeking damages caused by the failure of Pelican to complete construction. The Trial Judge referred the matter to the Commissioner who, at the request of Pelican, appointed an expert to investigate the contending claims of the parties, to evaluate them, and to report his conclusions. After receipt of the report, the Commissioner conducted a hearing and recommended to the Trial Judge that he render judgment in favor of Pelican. Defendants objected to that recommendation, but the Trial Judge accepted it, and he rendered judgment in favor of Pelican and against defendants. Defendants have appealed from that judgment alleging numerous errors in the Commissioner's factual findings. Pelican has appealed, asking for an increase in the judgment.

The issues in this appeal arise from factual disputes brought about by oral agreements and a written contract. The oral agreements—valid contracts—were made before and after the signing of the written contract; nevertheless, the written contract will be described first.

The written contract was signed by James Higginbotham, as owner of Pelican, and by both defendants, as co-owners of Georgie Porgie's, and was for the installation of electrical wiring, equipment, and fixtures for the restaurant and discotheque, but not for the dining room. Although Pelican supplied the contract, it was unusual because it was nothing more than a printed form copyrighted by an out-of-state publisher for use in the construction trade in other states. According to its terms, Pelican made a proposal or bid for the *3 electrical work, and defendants Neumeyer and Anselmo accepted it. The contract also contained a vague description of the work to be performed, a reference to a drawing to fill in the details, and an agreed price of $34,500.00. Although it was dated June 8, 1977, there was no indication of when Neumeyer and Anselmo accepted the bid. It was unusual in more ways: there was no date for commencement of construction, and, more importantly, there was no date for completion of construction. Additionally, as if this were not enough, there was a provision giving the defendants "the option to relocate and change [the electrical wiring, equipment and fixtures] as job necessitates," although it also contained a provision standard in the industry that "deviations from ... specifications will be executed only upon written orders, and will become an extra charge."

Not only was the contract unusual, there also was conflicting testimony given during the trial both about the events that occurred before and after the signing of the contract and about the oral agreements between the parties. Nevertheless, in spite of the conflicting evidence, it is possible to piece together a narration of those events which is logical in sequence and consistent with the Commissioner's findings of fact.

The testimony indicated that Neumeyer employed Mr. John Bohlke, an architect, to design the construction plans for Georgie Porgie's, and Bohlke subcontracted with Mr. Mario Zervigon, an electrical engineer, to design the electrical part of the plans. In October 1976, Zervigon gave his electrical design plans to Bohlke, who gave the plans to Neumeyer, who distributed them to the subcontractors. Higginbotham received them early in April 1977 (from a third party who had declined to bid on the job), and he met with Neumeyer later in the month for the purpose of submitting a bid by Pelican. They met in Georgie Porgie's and, after discussing the plans, Neumeyer, who had supervised construction of several hundred lounges, accepted Pelican's bid of $34,500.00. Relying on this oral contract, Pelican ordered material for the job, and construction began before May of 1977. From the very beginning and throughout the course of four months of construction, Neumeyer issued numerous change orders, and Pelican complied with these orders. Some change orders were minor; some were not.

Finally, on June 8, 1977, the written contract was signed by Neumeyer and Anselmo, for Georgie Porgie's, and by Higginbotham, for Pelican. At the time of signing, a substantial amount of work had been done, and Neumeyer and Anselmo paid Pelican the first installment. Work continued, and construction in the restaurant and discotheque progressed.

Sometime before the completion of that work, Neumeyer acquired space for a dining room adjacent to the lounge, and after this, Neumeyer, Anselmo and Higginbotham entered into an oral agreement for Pelican to do the electrical work for the newly acquired dining area. The work was insubstantial compared to that in the original contract, and the agreed price was $2,800.00. It was never reduced to writing and was much like all the other change orders given by Neumeyer to Higginbotham —informal, without plans or specifications.

Neumeyer and Anselmo were anxious to open Georgie Porgie's, and Neumeyer continually pressed for completion of the unfinished construction. Finally, although the work was not entirely completed, the doors opened for business on September 15, 1977, and Georgie Porgie's has operated continuously since that date.

After the opening, Higginbotham visited Georgie Porgie's in the latter part of September and presented a list of "extras"— $19,504.00 worth—that were the result of changes in the plans. At that time, Pelican had been paid $30,000.00 on the original contract price of $34,500.00, and some work remained to be done. Neumeyer examined the list and agreed to pay for some of the "extras," but not for others. Pelican stopped work, and shortly thereafter it filed suit, and this appeal followed.

In this appeal, defendants have alleged numerous reasons for reversing the factual findings of the Commissioner; they are *4 summarized for purposes of analysis. First, defendants contend that Pelican breached the contract when it failed to complete construction and Pelican, therefore, should not recover the unpaid portion of the contract price. Second, they contend that the entire agreement between the parties was contained in the written contract which stated that orders for changes in construction, "extras," must be in writing before the defendants would be liable for them and Pelican, therefore, should not recover for "extras" supplied to fill the oral change orders. Third, in their reconventional demand, they contend that the work was done in a shoddy manner and that additional work was necessary to correct defects and omissions in the work that had been done and Pelican, therefore, should pay for the cost of correcting the defects and pay for the omissions.

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Bluebook (online)
419 So. 2d 1, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pelican-elec-contractors-v-neumeyer-lactapp-1982.