Sizeler v. Muller

467 So. 2d 1268, 1985 La. App. LEXIS 9261
CourtLouisiana Court of Appeal
DecidedApril 9, 1985
DocketNo. CA 2208
StatusPublished
Cited by3 cases

This text of 467 So. 2d 1268 (Sizeler v. Muller) 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
Sizeler v. Muller, 467 So. 2d 1268, 1985 La. App. LEXIS 9261 (La. Ct. App. 1985).

Opinion

GARRISON, Judge.

This is an appeal from a judgment of the district court rendered June 30, 1983, granting judgment in favor of plaintiff J. William Sizeler and against defendants Stanley W. Muller, Stanley W. Muller and Associates, Inc. and Sizeler and Muller, A Partnership, and awarding plaintiff damages in the amount of $167,140.98 plus interest and costs. Due to an error in calculation, a joint motion to amend and recast the judgment in the amount of $138,-524.48 was granted.

The trial judge provided the following written reasons for judgment:

“William Sizeler and Stanley W. Muller were in partnership as equal partners in the firm of Sizeler and Muller. The partnership began negotigations with certain individuals in a speculative venture, which was to be an office building located in downtown New Orleans. One of the key features of the speculation was to secure a tenant, which would insure financing, and thus insure success of the venture.
All of the preliminary work was done by the firm of Sizeler and Muller. The site was selected, and certain preliminary drawings were made together with specifications, in order to present some general idea of the building to prospective tenants. It was understood that Sizeler and Muller would be architects for the project, should it be successful. The Architectural fee was agreed to be 5% of the cost of the project.
By April, 1979 a tenant was found, the site was selected, a job number 211, given to the project in 1975 was carried over and preliminary financing was obtained. Other preliminary steps were taken, including the acquisition of the building site, a payment of $25,000.00 was given to Muller and Associates, against the fee, and test pilings were driven. The formal contract was signed on August 2, 1979. Differences developed between the partners who formally agreed to terminate their partnership on May 31, 1979.
[1270]*1270In their agreement of dissolution it was agreed that any new work coming to the firm after April 25, 1979 would belong in full to the architect who acquired the business. The partners also negotiated the division of all partnership affairs with the exception of job 211. In connection with jobs continuing after dissolution, the remuneration was to be determined by the percentage of completion the partners were to divide equally. The fee up to the date of dissolution of the partnerships, and the balance of the fee was to be divided 75% to the partner who completed the job, and twenty five percent to the remaining partner.
The partners are in complete disagreement as to a formula to be applied in settling accounts on Job 211. Hence this lawsuit.
This trial lasted for several days. The court heard numerous fact witnesses, including the partners, heard several experts, and was exposed to numerous charts, plans, and various other exhibits. In addition each party submitted excellent post-trial memoranda.
To say that there is a legal need for an accounting in this case is facetious. The problem concerns the method to be adopted. The decision will rest upon conclusion of fact, application of figures, and application of a formula.
There is no doubt in the Court’s mind that there was an understanding between all parties concerned in the beginning of the project that should a building be constructed Sizeler and Muller would be the Architects for the project and that the gross fee would be 5%. As a matter of fact the engineers and their fees had likewise been determined through percentages.
Although the contract was formally signed after the dissolution of the partnership, it appeared that it was merely a final reduction to writing of what had always been contemplated by the parties. There is no doubt in the Court’s mind that this was a partnership asset. Now, how shall it be divided?
The formula agreed upon by the parties for the dissolution of their other assets, in the Court’s opinion, cannot be used. The parties did not choose to apply it, and the Court will not force them to do so.
It is obvious that the fee cannot be split on a fifty-fifty basis. All parties agree that the supervising Architect is entitled to the greater percentage, for the reason that he has the job of supervisor, which means additional expenses and overhead. The Court feels that the following method will be fair to all parties; namely, to consider the whole fee as a partnership asset, to deduct the overhead costs from the gross and then to divide the remaining assets on an equal basis. Since the partnership was bearing the costs of overhead equally, prior to dissolution, this factor will not be taken into consideration.
Although admittedly, the time records of defendant Muller were estimates, it appears little doubt that he did spend considerable time on the project, for which time he should be compensated, allowance will be made for this time by computing it into the overhead on the project; Defendant’s exhibit 25 furnishes the basis for these computations.
After deducting for engineering expenses the adjusted gross architectural fees amount to $563,815.11. From this figure must be deducted the overhead costs past May 31, 1979, including Mr. Muller’s time, which figure amounts to $197,832.20. Since both parties bore the expenses and overhead prior to dissolution of the partnership, this figure will not be considered. The net Architectural fee to be divided is therefore $334,281.97, which will give a figure of $167,140.98 due to each party.
There will therefore be Judgment in favor of plaintiff J. William Sizeler and against Stanley W. Muller et al in the full sum of $167,140.98 with legal interest from date of judicial demand until [1271]*1271paid, and for all costs of these proceedings.”
On appeal, the appellant argues that: “(1) The trial court erred in finding that there was any agreement or contract between the Partnership and the developer of the Chevron Building prior to April 25, 1979 or May 31, 1979.
(2) The trial court erred in finding that the right to the architectural fees from the Chevron Building was a Partnership asset.
(3) The trial court erred in awarding the plaintiff any recovery.
(4) Alternatively, the trial court erred in failing to base the award made to the plaintiff on the theory of quantum meru-it.
(5) The trial court erred in failing to make a factual finding as to the value, if any, of Partnership services rendered pri- or to dissolution that were of benefit to the defendants.”

Plaintiff and defendant were friends and co-workers at a local architectural firm when on January 1, 1973, they formed an architectural partnership and commenced with “Job # 1”. In the summer of 1975, “Job #211” later known as the Chevron Building was opened. On May 31, 1979 by contract, the partnership was dissolved. The partnership’s last job number was 487.

In the summer of 1975 developer Jerome Goldman began to study numerous parcels of land for possible development. At that time, it was understood that if the building were built, the Partnership would be paid 5%

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

Related

Harper v. J.B. Wells Estate
575 So. 2d 894 (Louisiana Court of Appeal, 1991)
Laga v. Village of Loreauville
571 So. 2d 212 (Louisiana Court of Appeal, 1990)
Sizeler v. Muller
469 So. 2d 990 (Supreme Court of Louisiana, 1985)

Cite This Page — Counsel Stack

Bluebook (online)
467 So. 2d 1268, 1985 La. App. LEXIS 9261, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sizeler-v-muller-lactapp-1985.