Platinum City, L.L.C. v. Boudreaux

81 So. 3d 780, 11 La.App. 3 Cir. 559, 2011 La. App. LEXIS 1407, 2011 WL 5864930
CourtLouisiana Court of Appeal
DecidedNovember 23, 2011
Docket11-559
StatusPublished
Cited by12 cases

This text of 81 So. 3d 780 (Platinum City, L.L.C. v. Boudreaux) 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
Platinum City, L.L.C. v. Boudreaux, 81 So. 3d 780, 11 La.App. 3 Cir. 559, 2011 La. App. LEXIS 1407, 2011 WL 5864930 (La. Ct. App. 2011).

Opinion

SAUNDERS, J.

| t This appeal arises from the trial court’s judgment in favor of the landlord against the tenant whereby the trial court found that the tenant owed the landlord compen *782 sation for past due rent and late penalties. The trial court also dismissed all claims the tenant brought against the landlord, including a claim of wrongful eviction. It is from this judgment that the tenant appeals. For the reasons stated herein, we reverse in part, amend in part, affirm in part, and render.

FACTS AND PROCEDURAL HISTORY

This case arises from a lease agreement in which Allen Boudreaux (hereinafter “Boudreaux”) agreed to lease a building to Platinum City, L.L.C. (hereinafter “Platinum City”) to be used as. a nightclub. Boudreaux and Platinum City entered into a lease contract on or about October 31, 2006. The contract provided that Platinum City would rent the property at 3434 East Prien Lake Road in Lake Charles, Louisiana, from November 2, 2006 until December 31, 2007. The contract also provided that the first month’s rent would be free, and subsequent payments were to be made at a monthly rate of $4,000 per month, with a ten percent (10%) penalty for late payments. Further, the lease warranted that the property was in “good condition” and required Platinum City to maintain a specified amount of liability insurance coverage on the building for the duration of the lease. The parties also agreed that at the expiration of the original term of the lease, Platinum City was to have an option to renew the lease for an additional one year, on the condition that Platinum City was not in default of the terms of the lease.

At the expiration of the original lease agreement, in January 2008, the parties agreed to enter into a new lease agreement under the same terms as the original lease for one year. Boudreaux and Platinum City entered into this new please agreement despite the fact that Platinum City had not made a rental payment for December 2007. Jermaine D. Williams (hereinafter “Williams”), the sole owner and shareholder of Platinum City, issued a cheek, dated January 4, 2008, to Bou-dreaux in the amount of $8,000 to satisfy both the December 2007 rental payment due pursuant to the original lease and the January 2008 rental payment due under the new lease. At the time of issuance, Williams stated to Boudreaux that Platinum City did not have the funds with which to honor the January 4, 2008 check, but would have them available shortly. Boudreaux deposited the check on January 20, 2008, but the issuing bank returned it to him marked “nonsufficient funds.”

Boudreaux, on January 29, 2008, faxed Williams and Platinum City a letter containing a notice of termination of the lease for nonpayment of rent and a demand to surrender possession of the property. The next day, January 30, 2008, Boudreaux caused Williams and Platinum City to be cited with a Five Day Notice from the Lake Charles City Court. Williams received the January 29, 2008 letter but denies being served with the January 30, 2008 court document. Boudreaux also forwarded the nonsufficient funds check to the Office of the District Attorney of Iberia Parish, which instituted prosecution against Williams for issuing a worthless check.

After receiving the notice of cancellation, Platinum City continued possession of the property and operated the nightclub until March 4, 2008, when Boudreaux terminated Williams’s access to the building. In response, Platinum City brought this action against Boudreaux alleging breach of contract due to the property’s failure to be in “good condition,” as warranted in the lease agreement, | sand alleging wrongful eviction resulting in loss of equipment and *783 lost profits. 1 Boudreaux then brought an action in reconvention against Platinum City for nonpayment of rent and late penalties.

On the trial date, Boudreaux raised the exception of no right of action, alleging that since Platinum City is no longer an entity, it can no longer pursue its claims. The court, taking judicial notice of Platinum City’s nonexistence, evidenced by the website of the Secretary of State of Louisiana, granted the exception. The court then allowed Williams to amend the original petition, substituting himself as the plaintiff in the current action.

The trial court entered a judgment against Williams, dismissing all claims against Boudreaux. The judgment awarded Boudreaux $5,200 for late rental payments and $12,725 for attorney fees, plus all costs, to be paid by Williams. , Williams appeals, asserting that the trial court erred by not finding that Boudreaux’s actions constituted wrongful eviction. We reverse in part, amend in part, affirm in part, and render.

ASSIGNMENT OF ERROR

1. The trial court erroneously found that Platinum City was not Wrongfully Evicted.

LAW AND ANALYSIS

Williams contends in his assignment of error that the trial court erred in failing to find that Boudreaux wrongfully evicted him. “An appellate court cannot overturn the factual findings of a trial court unless the trial court committed manifest error, or unless the trial court made a legal error, such as applying the wrong statute or incorrectly applying an applicable statute.” Brunston v. Hoover, 06-970, p. 3 (La.App. 3 Cir. 12/6/06), 945 So.2d 852, 854. Here, the trial court ^applied La. Civ. Code arts. 2013 and 2014, general contract articles governing failure to perform and dissolution of contracts. While the trial court was correct in applying La.Civ.Code arts. 2013 and 2014, it is clear that this case also falls under La. Code Civ.P. arts. 4701, 4731, and 4733, the articles which govern eviction procedure. Accordingly, we find that the court erred as a matter of law by failing to apply the appropriate procedural provisions of the Louisiana Code of Civil Procedure. Since this case poses a question of law, the appropriate standard of review is de novo.

[A]ppellate review of questions of law is simply to determine whether the trial court was legally correct or legally incorrect. If the trial court’s decision was based on its erroneous interpretation or application of the law, rather than a valid exercise of discretion, such incorrect decision is not entitled to deference by the reviewing court.

Conagra Poultry Co. v. Collingsworth, 30,-155 p. 2 (La.App. 2 Cir. 1/21/98), 705 So.2d 1280, 1281-82.

While the trial court remains the original forum for resolving factual and legal issues, the Louisiana Constitution expressly extends the jurisdiction of appellate courts in civil cases to the review of facts as well as law. Accordingly, appellate courts render judgments on the merits when the trial court has made a consequential but erroneous ruling on the exclusion or admission of evidence. Likewise, when an appellate court has all the facts before it, a trial judge’s erroneous instruction to the jury does not warrant a remand.
In addition to the constitutional authority, and consistent with it, there is a very practical consideration which en *784 courages our appellate courts to exercise their jurisdiction to review factual findings: judicial economy.

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Bluebook (online)
81 So. 3d 780, 11 La.App. 3 Cir. 559, 2011 La. App. LEXIS 1407, 2011 WL 5864930, Counsel Stack Legal Research, https://law.counselstack.com/opinion/platinum-city-llc-v-boudreaux-lactapp-2011.