Roustabouts, Inc. v. Hamer

447 So. 2d 543
CourtLouisiana Court of Appeal
DecidedFebruary 28, 1984
Docket83 CA 0348
StatusPublished
Cited by54 cases

This text of 447 So. 2d 543 (Roustabouts, Inc. v. Hamer) 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
Roustabouts, Inc. v. Hamer, 447 So. 2d 543 (La. Ct. App. 1984).

Opinion

447 So.2d 543 (1984)

ROUSTABOUTS, INC.
v.
Milton H. HAMER, Jr., et al. (Nobles Construction Company, Inc., Harry E. Nobles, Doyle M. Barnes and Anthony Newell).

No. 83 CA 0348.

Court of Appeal of Louisiana, First Circuit.

February 28, 1984.

*545 B.J. Rawls, Aycock, Home, Caldwell, Coleman & Duncan, Morgan City, for plaintiff.

Cary W. Vercher, Morgan City, for defendants.

Before LOTTINGER, EDWARDS and ALFORD, JJ.

ALFORD, Judge.

Plaintiff, Roustabouts, Inc., filed this suit against Milton H. Hamer, Jr., Doyle M. "Stick" Barnes, Anthony (Tony) Newell, Harry E. Nobles and Nobles Construction, Inc. In its petition, the plaintiff alleged that the defendants violated the Louisiana Unfair Trade Practices and Consumer Protection Law, LSA-R.S. 51:1401 et seq., (hereinafter sometimes referred to as the Trade Practice Act), in that they conspired to employ unfair methods of competition and unfair acts and practices which resulted in economic injury to plaintiff. While the defendants denied the plaintiff's allegations and filed a reconventional demand seeking their own damages based upon the Trade Practice Act, the trial court agreed with the plaintiff and awarded it $133,333.00 in actual damages and 25% attorney's fees. The defendants were cast in solido, and their reconventional demand was dismissed.

All of the defendants with the exception of Milton H. Hamer, Jr. have now perfected this appeal. On appeal, the appellants contend the trial judge committed five errors warranting the reversal of the judgment against them. However, an analysis of the transcript and evidence reveals that the decision below was correct and we therefore affirm at appellants' costs. In his lengthy written opinion, the trial judge stated several times that he had no doubt the defendants employed unfair practices to economically injure the plaintiff. Our reading of the transcript and review of the exhibits convinces us of the correctness of the trial judge's conclusions.

Hamer Industries, Inc. was incorporated on December 30, 1975. Milton H. Hamer, Sr. and his son Gregory J. Hamer were the only shareholders. Gregory J. Hamer was president, Milton H. Hamer, Sr. was secretary-treasurer and Doyle M. "Stick" Barnes was appointed vice-president on February 1, 1977. Being in the welding and fabrication business and serving the oil and gas industry, Hamer Industries frequently needed the services of roustabout-type personnel. Because of the need for this particular type of personnel, the Hamers decided that Hamer Industries, Inc. would spin-off a sister corporation to serve those in the area who needed roustabouts.

Accordingly, on May 12, 1977, the plaintiff company was incorporated. Gregory J. Hamer and Milton H. Hamer, Sr. each owned 35% of the stock of Roustabouts, Inc. and Doyle M. Barnes and Milton H. Hamer, Jr. each owned 15% of the stock. Initially, Gregory Hamer was president of the company, Doyle Barnes vice-president, and Milton Hamer, Sr. secretary-treasurer. Subsequently, Milton Hamer, Jr. was named president and Tony Newell was appointed operations manager. Although Doyle Barnes later sold his stock in Roustabouts, Inc., he remained vice-president and a director until January, 1980, when he went to work for Nobles Construction, Inc. In February, 1980, Milton Hamer, Jr. was fired as president of Roustabouts, Inc. and later accepted a job at Nobles Construction, Inc. Tony Newell also went to work for Nobles Construction about this time.

As noted above, the business of the plaintiff was to hire out roustabout personnel; use was made of these workers both on land and off-shore in the Gulf of Mexico. Because of the peculiar hours associated with this work, when the plaintiff's men were not working they were provided room and board for a nominal fee at a bunkhouse or "hotel" owned by the plaintiff. When a customer would call Roustabouts, Inc. looking for men, the plaintiff would dispatch *546 workers to the job with a "job ticket" used to keep track of the hours worked by the plaintiff's men. Later, when the men would return with the job tickets filled out, the plaintiff would bill the customer for services rendered.

For various reasons, the oil and gas industry in South Louisiana is frequently in need of welders and fabricators. Harry E. Nobles was a highly thought of welder and Doyle Barnes persuaded Nobles to come to work for Hamer Industries in January of 1978. Nobles agreed to come and brought some of is work with him. Often in need of roustabouts, Nobles would order men from Roustabouts and then Roustabouts would bill Hamer Industries, Inc.

The plaintiff's business was growing steadily and earning quite a nice return subsequent to its incorporation. Because of a number of matters, however, a sibling rivalry developed between Milton Hamer, Jr. and Gregory Hamer which began to interfere with the smooth operation of both plaintiff and Hamer Industries, Inc. At the same time—the spring and early summer of 1979—Harry Nobles began thinking over the idea of forming his own company. He went to Barnes for advice and asked Barnes if he wanted to participate. Citing Nobles all the benefits associated with his job at Hamer Industries, Barnes said no. However, because of the continuing bitterness resulting from the sibling rivalry, Milton, Jr. and Barnes began to discuss the idea of going into business with Nobles in May of 1979.

Nobles Construction, Inc. was incorporated on June 12, 1979. Although the minutes of the first meeting indicate that Harry Nobles was the only shareholder, Milton Hamer, Jr. testified that the original stock issue was 400 shares to Harry Nobles, 800 shares to Doyle Barnes and 400 shares to Milton Hamer, Jr. In support of his testimony, plaintiff offered a copy of a stock certificate issued to Milton Hamer, Jr. for 400 shares on June 12, 1979. Although defendants disputed the authenticity of the certificate, an expert in handwriting analysis confirmed that the signature of Harry Nobles on the document was genuine. The evidence refuting Hamer, Jr.'s testimony on this point was not persuasive. Furthermore, Milton Hamer, Jr. testified that he later obtained a consulting contract in exchange for the surrender of his stock. This contract was introduced into evidence and its authenticity was also disputed; however, plaintiff's expert again confirmed the signatures on this document as genuine.

The record also reflects that immediately after the incorporation of Nobles Construction, and extending throughout the time period involved in the controversy, Barnes and Milton Hamer, Jr. made capital contribution to Nobles Construction, Inc. Later, Milton Hamer, Jr. and Barnes withdrew some of this money in the form of salary, and the exhibits also proved that Doyle Barnes was authorized to sign checks for Nobles Construction, Inc. as early as July 9, 1979. The cancelled checks introduced into evidence clearly support Milton Hamer, Jr.'s contention that he and Barnes would receive the same amount in payroll, and it is clear that from early in the life of Nobles Construction, Inc., Doyle Barnes and Milton Hamer, Jr. were not only shareholders, but were salaried employees of Nobles Construction, Inc.

There exists in the record other evidence indicating Milton Hamer, Jr. and Doyle Barnes were intimately involved in the day-to-day operations of Nobles Construction, Inc. For instance, Milton Hamer, Jr. testified that he and Doyle Barnes negotiated a lease for Nobles Construction, Inc. in October of 1979. A copy of the lease was introduced into evidence substantiating Hamer's testimony.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Landry v. Legacy Housing Corp
W.D. Louisiana, 2021
Vesta Halay Johnston v. Susan Halay Vincent
Louisiana Court of Appeal, 2020
Foster-Somerled Enterprises, LLC v. St. Paul's Episcopal Church
212 So. 3d 1191 (Louisiana Court of Appeal, 2017)
Fagan v. Lawrence Nathan Associates, Inc.
957 F. Supp. 2d 784 (E.D. Louisiana, 2013)
Zeigler v. Housing Authority of New Orleans
118 So. 3d 442 (Louisiana Court of Appeal, 2013)
Cheramie Services, Inc. v. Shell Deepwater Production, Inc.
35 So. 3d 1053 (Supreme Court of Louisiana, 2010)
Cheramie Services v. Shell Deepwater Prod.
14 So. 3d 1 (Louisiana Court of Appeal, 2009)
Cheramie Services, Inc. v. Shell Deepwater Production, Inc.
14 So. 3d LV (Louisiana Court of Appeal, 2009)
Levine v. First Nat. Bank of Commerce
948 So. 2d 1051 (Supreme Court of Louisiana, 2006)
Vermilion Hosp., Inc. v. Patout
906 So. 2d 688 (Louisiana Court of Appeal, 2005)
Vermilion Hospital, Inc. v. John Patout
Louisiana Court of Appeal, 2005
SOUTHERN TOOL & SUPPLY v. Beerman Precision, Inc.
862 So. 2d 271 (Louisiana Court of Appeal, 2003)
Landreneau v. Fleet Financial Group
197 F. Supp. 2d 551 (M.D. Louisiana, 2002)
JCD Marketing Co. v. Bass Hotels and Resorts, Inc.
812 So. 2d 834 (Louisiana Court of Appeal, 2002)
Philips v. Berner
789 So. 2d 41 (Louisiana Court of Appeal, 2001)
Capitol House v. PERRYMAN CONSULT., INC.
725 So. 2d 523 (Louisiana Court of Appeal, 1998)
Inka's S'Coolwear, Inc. v. School Time, LLC
725 So. 2d 496 (Louisiana Court of Appeal, 1998)

Cite This Page — Counsel Stack

Bluebook (online)
447 So. 2d 543, Counsel Stack Legal Research, https://law.counselstack.com/opinion/roustabouts-inc-v-hamer-lactapp-1984.