Richard v. Broussard

482 So. 2d 729
CourtLouisiana Court of Appeal
DecidedDecember 26, 1985
DocketCA 84 1172
StatusPublished
Cited by12 cases

This text of 482 So. 2d 729 (Richard v. Broussard) 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
Richard v. Broussard, 482 So. 2d 729 (La. Ct. App. 1985).

Opinion

482 So.2d 729 (1985)

Ervin J. RICHARD, et ux.
v.
Floyd J. BROUSSARD, et ux.

No. CA 84 1172.

Court of Appeal of Louisiana, First Circuit.

December 26, 1985.
Rehearing Denied February 26, 1986.

*730 Kim P. Stansbury, Morgan City, for plaintiffs.

Risley C. Triche, Triche, Sternfels & Nail, Napoleonville, for defendants.

*731 Before EDWARDS, LANIER and JOHN S. COVINGTON, JJ.

LANIER, Judge.

This is a suit in contract alleging breach of a lease agreement by the lessees and seeking unpaid rents, damages and a contractual attorney fee. The trial court rendered judgment in favor of the lessors against the lessees for monthly rental of $3,250 per month for 14 months ($45,500) and damages of $772.05, for a total award of $46,272.05. A contractual attorney fee of 25% ($11,568.01) was assessed and legal interest was granted from date of judicial demand. The lessees took this suspensive appeal.

FACTS

In October of 1981, Ervin J. Richard and his wife, Odelia, owned and operated a business in the Bayou Vista community of St. Mary Parish, Louisiana. The business was located on the first floor of a two-story building located on the Richard premises. The Richards lived on the second floor.

In October of 1981, Floyd J. Broussard and his wife, Diane, contacted the Richards about buying the Richard business. The parties entered into a written lease-purchase agreement in which the Broussards leased the business premises from the Richards for $3,250 per month. The lease declares that its primary term is from November 1, 1981, until September 30, 1983, but the evidence shows the Broussards began operating the business in October of 1981. The Broussards were granted an option to purchase the Richard property for $275,000, which option could be exercised any time during the term of the lease.

The Richards retired from business and relied on the Broussards' monthly rental payments for their principal source of income. The Broussards paid rent and operated the business through July of 1982. The business was not a success and the Broussards closed the business and vacated the leased premises in July of 1982 without notice to the Richards. No rent was paid thereafter.

After the Broussards left the premises, the Richards attempted to find occupants for the premises from August to October of 1982. The Richards spent $583.70 for advertisements in area newspapers for this purpose. These efforts were unsuccessful.

In October of 1982, the Richards reoccupied a portion of the first floor of the premises and attempted to reestablish the business. These efforts ultimately failed. The Richards spent $188.39 to repair two icemakers, a freezer and a vacuum cleaner belonging to the business and which had been left in an unrepaired condition by the Broussards. The Richards made improvements to the premises to attract tenants. This suit was filed on December 17, 1982. The primary term of the lease ended on September 30, 1983. The Richards finally obtained tenants for the business premises on February 1, 1984.

TERMINATION OF LEASE

The Broussards contend the trial court erred by awarding unpaid monthly rentals until September 30, 1983, because the Richards terminated the lease in October of 1982 when they reoccupied the leased premises and attempted to reestablish the business.

The courts are bound to give legal effect to contracts according to the true intent of the parties. This intent is to be determined by the words of the contract when these are clear and explicit and lead to no absurd consequences. Carter's Insurance Agency, Inc. v. Franklin, 428 So.2d 808 (La.App. 1st Cir.1983).

Paragraph XXIII of the lease-purchase agreement provides as follows:

Upon the happening of any event of dafault [sic] LESSORS shall have the right at the option of LESSORS to exercise any one of the following remedies in addition to appropriate remedies which may otherwise be provided by law, as follows:
A. There shall, at the election of LESSORS, become forthwith due, payable and exigible so much of the whole rent *732 for the whole term of this lease as shall have been ascertained to be payable in definite and fixed amounts but which shall not have matured, at the time such election is exercised, and the LESSORS may proceed by attachment, suit or otherwise, to collect the rents so becoming due, payable and exigible in the same manner as though by the terms of this lease such rents were payable in advance; and the LESSOR may thereafter from time to time proceed, by attachment, suit or otherwise, to collect any of the rents thereafter from time to time becoming due and payable under any of the provisions of this lease which LESSEES shall fail to pay at maturity, such rents thereafter becoming due and payable as aforesaid, and the covenant of LESSEES to pay the same, being severable at the option of LESSORS from the rents which are accelerable and exigible under the foregoing terms of this paragraph, and from the covenant of LESSEES to pay such rents.
B. LESSORS shall have the right, at its election, to annul this lease and immediately to re-enter upon and take possession of said premises; and such re-entry shall not bar recovery of rent then accrued or damages for breach of covenant, nor shall the receipt of rent after condition broken be deemed a waiver of forfeiture.
C. If the demised premises shall be deserted or abandoned during the term of this lease or should the LESSEES begin to remove personal property or goods to the prejudice of the LESSORS liens, or if the LESSEES shall be evicted from said premises by a summary procedings, or otherwise, or upon the happening of any event or default, LESSORS may, at its election re-enter the same by force or otherwise, without being liable for prosecution therefore, and may relet said premises at any time as agent of LESSEES, applying any monies collected first, to costs, fees and expense of collection, second, to the expense of obtaining possession and redecoration and/or altering the premises, third, to the payment of the rent and all other sum owing and to beocme [sic] owing LESSORS, and paying any surplus thereof to the LESSEES, and such re-entry and reletting shall not discharge LESSEES from liability for rent nor from any other covenant of this lease by it or to be kept and performed.
In the event of default on the part of LESSEES and the employment of an attorney for the collection of any amount due hereunder, or for the institution of any suit for possession of said property, for service incident to the breach of any other condition of this lease by LESSEES, or on account of bankruptcy proceedings by or against LESSEES, or legal process being issued against the furniture and effects of LESSEES, located upon the Leased Premises, or the leasehold interest of LESSEES, LESSEES agrees [sic] to pay and shall be taxed with attorney's fees, at a rate of twenty-five (25%) per cent, which fee shall be a part of the debt evidenced and secured by this lease.
This provision "C" as set forth above shall not preclude LESSEES from vacating the premises provided however, that LESSEES shall not be released from all terms and conditions as set forth herein. [Emphasis added].

In his excellent reasons for judgment, the trial judge disposed of the contention raised in this assignment of error as follows:

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Cite This Page — Counsel Stack

Bluebook (online)
482 So. 2d 729, Counsel Stack Legal Research, https://law.counselstack.com/opinion/richard-v-broussard-lactapp-1985.