SJ Lemoine, Inc. v. St. Landry Parish Sch. Bd.
This text of 527 So. 2d 1150 (SJ Lemoine, Inc. v. St. Landry Parish Sch. Bd.) 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.
Opinion
S.J. LEMOINE, INC., Plaintiff-Appellee,
v.
ST. LANDRY PARISH SCHOOL BOARD, Defendant-Appellant.
Court of Appeal of Louisiana, Third Circuit.
*1151 Carol J. Aymond, Jr., Bunkie, for plaintiff-appellee.
Young & Burson, I. Jackson Burson, Eunice, and Fred G. Benton, Jr., Baton Rouge, for defendant-appellant.
Before DOUCET, YELVERTON and KNOLL, JJ.
YELVERTON, Judge.
This appeal is from a judgment ordering the St. Landry Parish School Board, governing body of the parish school system, a public entity, to pay $4,400 to S.J. Lemoine, Inc., a contractor, as the balance due on a contract for the construction of Eunice Junior High School. The School Board additionally appeals, as insufficient, a judgment in its favor for $1,500 on a reconventional demand. For reasons which follow, we reduce the award in the main demand from $4,400 to $400. In all other respects we affirm.
Lemoine as general contractor and the School Board as owner entered into a written contract on July 12, 1983, for the construction of the school, for the price of $1,573,200. The contract provided for completion not later than August 1, 1984, and it also provided for liquidated damages for each calendar day of delay if not substantially completed on that date. A certificate of completion was executed by the Board's architect on September 4, 1984. The School Board paid all but $7,000 of the contract price. It notified Lemoine that it intended to withhold $6,600 as liquidated damages for the 33 day delay in performance, and tendered the balance of $400, which Lemoine refused to accept.
*1152 Lemoine filed suit on July 16, 1985, for $7,000. The School Board answered admitting owing $400, but contending that the obligation for $6,600 was extinguished by compensation, and reconvened demanding specific performance based on defects in the construction of the roof, or, alternatively, a money award for repairs to a leaking roof and the damages caused by the leaks.
The case was tried in the fall of 1986 and judgment was rendered in February 1987. The trial judge found that Lemoine qualified under the language of the contract for an extension of 22 days, and that the School Board was entitled to liquidated damages for only 11 days, or $2,200, leaving $4,400 owed out of the retainage. On the reconventional demand the trial judge found that there were defects and damages which could be repaired for $1,500, giving judgment to the School Board for that amount.
There are two issues presented on appeal. The first is the issue presented by the main demand, which is whether the School Board is entitled to stipulated damages for the delay in the performance of the contract; since Lemoine had not appealed, this issue, precisely, is whether the School Board is entitled to damages for 33 days, or 11 days. The second issue, presented by the reconventional demand, is whether the trial judge's determination of the cost of repairs because of the defective roof was insufficient.
STIPULATED DAMAGES
Article 3 of the contract dealt with time of commencement and substantial completion. It declared:
"The work to be performed under this Contract shall be commenced within 10 days from date of written notification from the Architect to the General Contractor to proceed, and, subject to authorized adjustments, Substantial Completion shall be achieved not later than August 1, 1984."
The contract contained a special provision for liquidated damages relating to failure to complete on time, as follows:
"The owner will suffer financial loss if the Project is not Substantially Complete prior to August 1, 1984. The Contractor (and his Surety) shall be liable for and shall pay to the Owner the amount of $200.00 per calendar day as fixed, agreed, and liquidated damages for each calendar day of delay until the work is Substantially Complete."
Although Lemoine on several occasions, by letter, requested additional days on account of rain, the School Board did not approve the grant of any additional time. There was testimony that the reason for the August 1, 1984, deadline was to enable the new school to open on time. The old school had burned down, and the School Board was using borrowed temporary buildings which were due to be returned to their owners. School was scheduled to open in late August.
The 1984 revised La.C.C. art. 2005, which according to the revision comments does not change the law, provides that parties may stipulate the damages to be recovered in case of delay in performance of an obligation.
Lemoine does not question the right of the School Board to stipulated damages under the contract. It is his position, rather, that the delays were excused under other contractual language. The contract language on which he relies is:
"8.3 Delays and Extensions of Time 8.3.1 If the Contractor is delayed at any time in the progress of the Work by any act or neglect of the Owner or the Architect, or by any employee of either, or by any separate contractor employed by the Owner, or by changes ordered in the Work, or by labor disputes, fire, unusual delay in transportation, adverse weather conditions not reasonably anticipatable, unavoidable casualties, or any causes beyond the Contractor's control, or by delay authorized by the Owner pending arbitration, or by any other cause which the Architect determines may justify the delay, then the Contract Time shall be extended by Change Order for such reasonable time as the Architect may determine."
*1153 Lemoine testified that 20 additional days were required to perform additional work under two change orders. He testified that 29 more days were required because of rain or cold weather. There are letters in the record requesting 29 one day extensions on account of rain or cold, specifying the calendar dates that adverse weather stopped work.
The record shows that among the requests for extensions based on weather, six days were requested for lost time in late December 1983, and sixteen days for lost time in January 1984. As stated earlier, the School Board never approved any request for additional time.
The trial judge decided that the School Board should have allowed 20 days for bad weather. Reasoning that the contract language could not be interpreted to grant the School Board the right to unreasonably refuse a request for extensions if a reason for the extension existed, the trial court then concluded:
"With regard to the weather delays, contractor claimed these with regularity shortly after the questioned days. Some weight must be given to that promptness. No express testimony was adduced by either side as specific conditions on each day.
This court can take cognizance of the extreme weather in the months of December, 1983, and January, 1984. The great number of days sought by the contractor in those months coincide with that extreme weather. For the whole contract I will allow 20 days of extensions for weather problems."
An obligor is relieved of liability for stipulated damages when the failure to perform the principal obligation is justified by a valid excuse. La.C.C. art. 2008. The comments to this article indicate that it reproduces the substance of C.C. art. 2121 (1870) and does not change the law.
In Davis v. Tillman, 370 So.2d 1323 (La. App. 2nd Cir.1979) it was held that abnormal weather conditions in the form of excessive rain was a valid excuse for not performing on time.
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527 So. 2d 1150, 1988 La. App. LEXIS 1456, 1988 WL 62927, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sj-lemoine-inc-v-st-landry-parish-sch-bd-lactapp-1988.