Sportsman Store v. Sonitrol SEC. Systems

748 So. 2d 417, 1999 WL 956299
CourtSupreme Court of Louisiana
DecidedOctober 19, 1999
Docket99-C-0201
StatusPublished
Cited by62 cases

This text of 748 So. 2d 417 (Sportsman Store v. Sonitrol SEC. Systems) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sportsman Store v. Sonitrol SEC. Systems, 748 So. 2d 417, 1999 WL 956299 (La. 1999).

Opinion

748 So.2d 417 (1999)

SPORTSMAN STORE OF LAKE CHARLES, INC.
v.
SONITROL SECURITY SYSTEMS OF CALCASIEU, INC., Cassidy Insurance Agency and Stewart Keith Cayton.

No. 99-C-0201.

Supreme Court of Louisiana.

October 19, 1999.

*418 John Gregory Bergstedt, Lake Charles, for Applicant.

Michele S. Caballero, Milo Addison Nickel, Jr., Lake Charles, for Respondent.

Douglas Lanaux Grundmeyer, Jena Smith-Malfatti, Gregory Joseph Walsh, Wilbur Anthony Toups, III, New Orleans, for Advantage Capital Partners IV, Advantage Capital Partners III, Advantage Capital Partners II, Advantage Capital Partners V, (Amicus Curiae).

Robert Alexander Jarred, Lafayette, for Burglar and Fire Alarm Association (Amicus Curiae).

John E. Gagliano, R. Scott Caulkins, Arlington, VA, Loretta Gallaher Mince, James Richard Swanson, New Orleans, for Sonitrol National Dealer Association, Sonitrol Corporation (Amicus Curiae).

VICTORY, J.[*]

In this case, we are presented with the issue of whether the Third Circuit Court of Appeal properly applied the manifest error standard of review. After reviewing the record and the applicable law, we reverse the court of appeal and reinstate the judgment of the trial court.

FACTS AND PROCEDURAL HISTORY

In March of 1989, Gary Klumpp ("Klumpp"), owner of the Sportsman Store of Lake Charles (the "Sportsman Store"), a retail store and pawn shop which was expanding to sell jewelry, as well as guns, contacted Stewart Keith Cayton ("Cayton"), owner of Sonitrol Security Systems of Calcasieu, Inc. ("Sonitrol"), concerning the design and installation of a security system for a new location of his business at a busy intersection.

After inspecting the premises, Cayton discussed three options with Klumpp: a digital dialing system, a direct wire system, and a cellular system. The cellular system was immediately rejected by Klumpp because it was too expensive. Cayton explained to Klumpp that in the direct wire system, the security system's central monitoring station would know immediately if the secured premises' phone lines were cut and the operator on duty would then contact the police. But in the digital dialing system, Cayton explained that the central monitoring station monitors only the information sent by the system over the existing telephone line, and thus the operator at the station will not know if the telephone line has been cut. However, approximately one minute after the line is cut, the siren will sound. Cayton testified that he recommended that Klumpp purchase the slightly more expensive direct wire system[1] because of the danger that burglars could cut through the exposed telephone wires on the side of the building thereby cutting off communication with Sonitrol's central alarm station. Cayton testified that he told Klumpp that if he chose the digital system, the telephone wires were not protected and that Sonitrol was prohibited by law from touching the phone lines.

*419 Klumpp testified at trial that in spite of this explanation, he understood that the only difference between the two systems was that the direct wire system had two telephone lines, whereas the digital dialing system had one line, but that as two lines were just as easy to cut as one, he chose the digital dialing system. He also testified that he purchased the system because Cayton told him that he had a one million dollar insurance policy that would cover Klumpp's losses if there was an undetected break-in.

Cayton proceeded to design and install the digital dialing system at the Sportsman Store. Because of the high volume of vehicular traffic at the intersection where the store was located and because Klumpp wanted the siren to be as loud as possible, the siren was installed on the outside of the store above the front door. The siren was encased in a 16-gauge steel cabinet and screwed into the wall with four metal screws. There were two tamper switches on the siren and all the wires to the siren were either inside the store or inside the store wall. Klumpp signed the contract for the design, and installation of the system and monitoring services, which contained a limitation of damages clause, as well as a limited manufacturer's warranty.

Sometime between the evening of June 21 and the morning of June 22, 1990, the Sportsman Store was burglarized. It is undisputed that the burglars first cut the telephone wire on the side of the building and the telephone wire at the telephone pole and then pried the siren off the wall, pulled the siren wires out of the wall and cut them. They then proceeded to steal numerous items from the store.

The Sportsman Store filed suit against Sonitrol and Cayton seeking damages for negligent design and installation of the system, negligent representations as to the adequacy of the security system, and negligent and/or intentional misrepresentation concerning the one million dollar insurance coverage. In addition to the claims against Sonitrol and Cayton, the Sportsman Store made a claim against Cassidy Insurance and Real Estate Agency, Inc., an insurance company that Klumpp had purportedly purchased property insurance from, for failure to procure a property insurance policy containing theft coverage. This claim was settled prior to trial.

At trial, Klumpp and Cayton testified to the facts as stated above and each party presented expert testimony regarding the design and installation of the system. Plaintiffs expert was Dr. David Salmon, who was accepted as an expert in the field of security and evaluation of burglar alarm systems. He testified that the Sonitrol system as installed deviated from industry standards in the following respects: (1) the exposed phone lines were not concealed or covered in conduit; (2) the wires of the siren were not encased in conduit and the siren was attached to the building with metal screws, rather than welded; and (3) the owner was not told to either have the phone lines covered or to call the phone company to do something with the phone lines. He gave his opinion that these deviations in combination rose to the level of gross negligence.

Defendants presented two experts, Steve Midkiff, who had worked for Sonitrol of Orlando for 14 years, and Cayton. Both were qualified as experts in the design and installation of Sonitrol security systems. Midkiff testified that the system was properly designed and installed in accordance with Sonitrol standards, that the siren was properly mounted and placed, that the owner has the responsibility to either hide or cover phone lines, and that when he sees exposed phone lines, he recommends the use of another system, such as cellular. Cayton testified that the design and installation of the system met both Sonitrol and the National Burglar Alarm Association standards. He further testified that tests performed on the system after the burglary indicated that the system initiated the alarm but the phone lines could not deliver the signal to the *420 central station because they had been cut, and that the siren was sounding when the siren wires were cut.

The trial court found that the defendants were not liable for any damages to plaintiff based on the following findings of fact and conclusions of law:

1. The Sonitrol Security System in place at the Sportsman Store at the time of the burglary was properly designed and installed and there was no failure in the system in its design or installation.
2.

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Cite This Page — Counsel Stack

Bluebook (online)
748 So. 2d 417, 1999 WL 956299, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sportsman-store-v-sonitrol-sec-systems-la-1999.