Sahuque Rlty. Co. v. Employers Com'l U. Ins. Co. of Am.

327 So. 2d 563
CourtLouisiana Court of Appeal
DecidedApril 30, 1976
Docket7227
StatusPublished
Cited by10 cases

This text of 327 So. 2d 563 (Sahuque Rlty. Co. v. Employers Com'l U. Ins. Co. of Am.) 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
Sahuque Rlty. Co. v. Employers Com'l U. Ins. Co. of Am., 327 So. 2d 563 (La. Ct. App. 1976).

Opinion

327 So.2d 563 (1976)

SAHUQUE REALTY COMPANY
v.
EMPLOYERS COMMERCIAL UNION INSURANCE COMPANY OF AMERICA et al.

No. 7227.

Court of Appeal of Louisiana, Fourth Circuit.

February 10, 1976.
Rehearings Denied March 16, 1976.
Writs Refused April 30, 1976.

*564 Badeaux, Discon & Cumberland, John G. Discon and J. Michael Cumberland, New Orleans, for plaintiff-appellant.

Hammett, Leake & Hammett, Craig R. Nelson, New Orleans, for defendantsthird-party plaintiffs-appellants.

Philip S. Brooks, City Atty., Gerald Stewart, Philip D. Lorio, III, Asst. City Attys., for third-party defendant-appellee, City of New Orleans.

Before GULOTTA, SCHOTT and BEER, JJ.

SCHOTT, Judge.

Plaintiff brought this suit for damages to its building at Royal and St. Peter Streets in the City of New Orleans and loss of income which it alleged resulted from construction activities of New Orleans Public Service, Inc. (NOPSI) and *565 Wallace C. Drennan, Inc. (Drennan). This is not a tort action but is based upon the liability of the proprietor flowing from LSA-C.C. Art. 667 and the recent jurisprudence concerned therewith, e. g., Hero Lands Company v. Texaco, Inc., 310 So.2d 93 (La. 1975) and cases cited therein. At the outset of the trial all parties stipulated that Drennan performed without negligence. Defendants denied liability and alternately filed a third-party demand against the City of New Orleans claiming contribution on the theory that the City was the owner of the street where the work was done with the result that the City was likewise liable under Art. 667. From a judgment in favor of plaintiff and against defendants for $20,000 and in favor of the City, dismissing the third-party demand of defendants, the plaintiff and the defendants have appealed, the former seeking an increase in damages and the latter seeking a reversal of the judgment on the main demand or at least a reduction in the damages and alternatively a reversal of the dismissal of its third-party demand.

NOPSI had contracted with Drennan for the construction of an underground vault for electric transformers on St. Peter Street just off Royal Street, directly in front of plaintiff's building. The work also involved the installation of an underground conduit running along Royal Street from St. Peter in front of plaintiff's building as well as the removal of some manholes and an old underground conduit, and the removal and relocation of underground drainage and sewage lines in the streets in front of the building. This construction involved an excavation to a depth of 15 feet to accommodate the vault transformer located less than 12 feet from the St. Peter Street side of plaintiff's building. The access to the vault was located between the vault itself and the building. The trench for the conduit along Royal Street was located within 10 feet of the Royal Street side of the building and reached a depth of 12 feet.

While the work on the transformer vault was in progress in July, 1972, cracks appeared in the stucco finish on the St. Peter Street wall of the building. As the work progressed and upon its being completed these cracks became progressively worse, completely splitting the wall in some places. The evidence is uncontradicted that shortly before the commencement of the work the exterior of plaintiff's building had been repainted. Photographs taken of the exterior in May, 1972 (prior to commencement of construction), July, 1972, and May, 1973, and the testimony of plaintiff's witnesses leave no doubt whatsoever but that some damage was caused to the building as a result of the work. The principal issue is the extent of this damage.

Plaintiff contends that the cracks were entirely caused by the work while defendants contend that there were pre-existing cracks in the building which reopened as a result of the work so that plaintiff's claim should be limited to an aggravation of this pre-existing condition. Furthermore, plaintiff contends that the building's foundation was damaged as a result of defendants' work necessitating extensive foundation repairs on the St. Peter Street side of the building, while defendants contend that the foundation requires no repairs whatsoever. Plaintiff produced an estimate from a contractor to do the repair work exclusive of the foundation to the outside and inside of the building for approximately $10,000. Defendants produced an estimate from Robert Haase, a contractor whose qualifications were readily acknowledged by plaintiff's contractor in his testimony, to do essentially the same work for $5,333. Plaintiff's contractor estimated the cost of the foundation work to be approximately $60,000, while Haase estimated the cost of the same work to be approximately $34,000. We have no difficulty finding that plaintiff was entitled to the lower estimate for the work exclusive of the foundation. Photographs of the exterior and the interior of two corner apartments on the *566 second and third floors and testimony amply support plaintiff's right to recover this sum for replastering, repainting and refinishing the interior, and retoothing the bricks on the exterior along with refinishing and repainting. The trial judge undoubtedly included in his award the $5,333 to do this work,[1] but to find a basis for the remainder of the award becomes a problem.

Defendants contend that the trial judge had to find no foundation damage at all; otherwise, he would have included the lower of the estimates for making these repairs, and that his omission from the award of $34,000 for the foundation damage requires a reduction of the judgment to the sum of $5,333. Defendants also contend that there was no evidence to support a loss of revenue beyond $140. On the other hand, plaintiff argues that since the trial judge allowed more than $10,000, which it claimed for the repairs other than foundation repairs, the trial judge necessarily found that there was damage to the foundation and since the lower estimate for the foundation repairs was defendant's $34,000 the trial court necessarily erred in awarding only $20,000. We find these approaches to be overly simplistic and under all of the circumstances of this case we are not inclined to disturb the judgment of the trial court.

We are favored with the following reasons for judgment by the trial judge:

"The Court finds: that there were cracks in the building before the construction, visible from the outside;
"That these cracks were made larger, and made to open to such an extent that they caused openings from outside through the wall and the plaster to the interior;
"That these cracks were made larger because of the construction work of the contractor;
"That there will be some disruption of tenants, and loss of revenue due to the repairs;
"There is a lack of agreement as to the extent of cost of the repairs needed.
"The Court feels that the sum of $20,000.00 would adequately compensate the plaintiffs for their damages."

In our review of the evidence we are mindful of a number of principles which are pertinent in this case. Where there is a legal right to recovery but damages cannot be exactly estimated the trial court has reasonable discretion to assess such damages based on the facts and circumstances of the case. Jordan v. Travelers Insurance Co., 257 La. 995, 245 So.2d 151 (1971). Where damages cannot be precisely and mathematically determined the trial judge is vested with reasonable discretion in making awards for damage.

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Bluebook (online)
327 So. 2d 563, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sahuque-rlty-co-v-employers-coml-u-ins-co-of-am-lactapp-1976.