Rick Sutton v. Jack Adams, Charles Adams and Polly Point Imports Corp.

Louisiana Court of Appeal·Decided August 4, 2025·No. 2024-CA-0760·Published

Opinion

RICK SUTTON * NO. 2024-CA-0760

VERSUS * COURT OF APPEAL

JACK ADAMS, CHARLES * ADAMS AND POLLY POINT FOURTH CIRCUIT IMPORTS CORP. * STATE OF LOUISIANA

*******

CONSOLIDATED WITH: CONSOLIDATED WITH: RICK M. SUTTON NO. 2024-C-0571 VERSUS

CHARLES ADAMS, POLLY POINT IMPORTS CORP, DEFENDANTS AND JACK ADAMS

APPEAL FROM

CIVIL DISTRICT COURT, ORLEANS PARISH NO. 2016-11427, DIVISION “F-14”

Honorable Jennifer M Medley, Judge ******

Judge Dale N. Atkins

******

(Court composed of Judge Joy Cossich Lobrano, Judge Tiffany Gautier Chase, Judge Dale N. Atkins)

Robert G. Harvey, Sr. LAW OFFICE OF ROBERT G. HARVEY, SR., APLC 600 North Carrollton Avenue New Orleans, LA 70119

COUNSEL FOR PLAINTIFF/APPELLEE, Rick M. Sutton

Stephanie M. Poucher PHELPS DUNBAR, LLP 365 Canal Street, Suite 2000 New Orleans, LA 70130

Charles L. Rice, Jr. RICE LAW GROUP, LLC 3501 Tulane Ave New Orleans, LA 70119

COUNSEL FOR DEFENDANT/APPELLANT, Jack Adams

WRIT GRANTED; JUDGMENT VACATED; REMANDED AUGUST 4, 2025

DNA JCL TGC

This protracted matter stems from a failed business venture between the parties and has been before this Court on numerous occasions; but the present dispute, a suspensive appeal consolidated with a writ application, specifically concerns a mandamus. Appellant/Relator is Jack Adams (“Mr. Adams”), while Rick M. Sutton (“Mr. Sutton”) is the Appellee/Respondent. In his appeal, Mr.

Adams seeks review of the trial court’s August 22, 2024 judgment, which granted the “Application for Writ of Mandamus” (“Mandamus Application”) filed by Mr.

Sutton. In his writ application, Mr. Adams seeks review of the trial court’s refusal to consider his exceptions before ruling on Mr. Sutton’s Mandamus Application.

For the following reasons, we grant Mr. Adams’ writ application, vacate the trial court’s August 22, 2024 judgment, and remand this matter for further proceedings consistent with this Opinion.

RELEVANT FACTUAL BACKGROUND AND PROCEDURAL HISTORY

In a recent Opinion, this Court explained the original dispute between these parties as follows:

In 2011, Rick Sutton and Jack Adams entered into a business relationship regarding the operation/creation of a jewelry shop and art gallery on Royal Street. They formalized their agreement through the

formation of business entities named RJANO Holdings, Inc.

[(“RJANO”)] and Maison Royale, LLC [(“Maison Royale”)]. RJANO was the entity that leased the property and Maison Royale was the entity that operated the business. The relationship between Mr. Sutton and Mr. Adams deteriorated and numerous lawsuits have followed.

Sutton v. Adams, 2024-0287, p. 1 (La. App. 4 Cir. 3/21/25), ___ So.3d ___, ___, 2025 WL 880000, at *1. The lawsuits began in 2014. Pertinent to this consolidated appeal and writ are the following four lawsuits filed and still pending in Orleans Parish Civil District Court (“CDC”).

Pertinent Lawsuits

Breach of Contract Suit (2014-10709, Division “N”):

First, in 2014, Mr. Sutton filed a lawsuit wherein he alleged breach of contract and damages, and he named Mr. Adams, Maison Royale, and RJANO as defendants. This matter was CDC Number 2014-10709 and assigned to Division “N” of that court. RICO Suit (2016-11427, Division “D”):

Then, in 2016, Mr. Sutton filed another lawsuit in which he asserted various claims, including violation of the Louisiana Racketeering Act (“RICO”), violations of the Louisiana Unfair Trade Practices Act (“LUTPA”), fraud and misrepresentation, breach of fiduciary duty, and detrimental reliance against Mr. Adams; Mr. Adams’ father Charles; and Polly Point Imports Corporation. This matter was CDC Number 2016-1147 and assigned to Division “D” of that court. On October 25, 2017, the trial court dismissed Mr. Sutton’s RICO and LUTPA claims, and this Court affirmed on appeal. Sutton v. Adams, 2018-0196, p.10 (La. App. 4 Cir. 12/19/18), 318 So.3d 776, 784, writ denied, 2019-0346 (La. 4/22/19), 267 So.3d 1112.

Abuse of Process Suit (2017-3907, Division “L” originally; Division “N” later):1 Third, Mr. Adams filed a 2017 lawsuit in which he alleged abuse of process regarding Mr. Sutton’s allegations in the RICO Suit. This lawsuit was CDC Number 2017-3907 and was originally assigned to Division “L” of that court. Nullity Suit (2019-3156, Division “N” originally; Division “D” later):

Fourth and finally, in 2019, Mr. Sutton filed a Petition to Nullify the October 25, 2017 judgment issued in the RICO Suit. This suit was CDC Number 2019- 3156 and was originally assigned to Division “N” of that court.

On August 26, 2019, Division “D” transferred the Nullity Suit to itself because it was the division that issued the judgment of dismissal in the RICO Suit, which judgment Mr. Sutton sought to annul via the Nullity Suit. Thereafter the then-presiding judge of Division “D” ascended to this Court, and the Louisiana Supreme Court appointed a pro tempore judge.

Orders of Recusal and Re-Allotment On January 10, 2023, the pro tempore judge issued an “Order of Recusal and Re-Allotment” in docket number “2019-3156 c/w 2019-3156” (the docket number for the Nullity Suit) because her law firm represented a party in the litigation. The pro tempore judge’s order directed the Clerk of Civil District Court for Orleans Parish (“Clerk of Court”) to “re-allot this matter in its entirety to another non- domestic Division of [the] [c]ourt, omitting Division ‘D’.” Subsequently, on February 3, 2023, the pro tempore judge issued a second “Order of Recusal and Re-Allotment” in docket number “2019-03156 c/w 2016-11427” (the docket

1 In Sutton v. Adams, 2022-01672, p. 11 (La. 3/7/23), 356 So.3d 1038, 1047, the Louisiana Supreme Court ordered Division “N” to hold a contradictory hearing to determine whether the Abuse of Process Suit should be transferred to that division and consolidated with the Breach of Contract Suit pending in that division. After holding such a hearing, Division “N” transferred the Abuse of Process Suit to itself.

numbers for the Nullity Suit and the RICO Suit, respectively). Like the pro tempore judge’s first order, the second order directed the Clerk of Court to “re- allot this matter in its entirety to another non-domestic Division of [the] [c]ourt, omitting Division ‘D’.” However, the second order contained a stamped portion that stated, “LET THIS CASE BE REALLOTED TO DIV. F.”

Mandamus Application and Exceptions Thereafter, on July 30, 2024, Mr. Sutton filed his Mandamus Application listing the docket number as “2016-11427 c/w 2019-3156” (the docket numbers for the RICO Suit and Nullity Suit, respectively) at the top of the pleading. According to Mr. Sutton, the pro tempore judge’s February 3, 2023 order meant that CDC Number 2019-3156 (the Nullity Suit) had been “officially re[-]allotted [to Division ‘F’] by judgment of the [c]ourt.” Further, Mr. Sutton alleged that matters were “set to be heard” before Division “F” “on August 8, 2024[,] and thereafter” regarding his Nullity Suit. Nonetheless, as contended by Mr. Sutton, opposing counsel filed pleadings related to the Nullity Suit in Division “N” (where the Breach of Contract and Abuse of Process Suits were pending) instead of Division “F”, and the Clerk of Court referred to the Nullity Suit as a Division “N” case. Mr. Sutton’s Mandamus Application sought an order “instructing the Clerk of Court to correct the docket number 2019-3156 [the Nullity Suit] to show that the case has been properly re[- ]alloted to Division [‘F’].”

In response to Mr. Sutton’s Mandamus Application, on August 7, 2024, Mr.

Adams filed peremptory Exceptions of Lack of Subject Matter Jurisdiction, No Cause of Action, No Right of Action, and Violation of the Bankruptcy Court’s Automatic Stay; a declinatory Exception of Insufficiency of Service of Process; and dilatory Exceptions of Unauthorized Use of Summary Proceedings, Improper

Cumulation of Claims, and Improper Joinder of Parties (collectively “Exceptions”).

Hearing and Judgment

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Rick Sutton v. Jack Adams, Charles Adams and Polly Point Imports Corp., (La. Ct. App. 2025).

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