Succession of Smith v. Kavanaugh, Pierson and Talley

565 So. 2d 990, 1990 La. App. LEXIS 1683, 1990 WL 88896
CourtLouisiana Court of Appeal
DecidedJune 26, 1990
Docket89 CA 0668
StatusPublished
Cited by18 cases

This text of 565 So. 2d 990 (Succession of Smith v. Kavanaugh, Pierson and Talley) 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
Succession of Smith v. Kavanaugh, Pierson and Talley, 565 So. 2d 990, 1990 La. App. LEXIS 1683, 1990 WL 88896 (La. Ct. App. 1990).

Opinion

565 So.2d 990 (1990)

SUCCESSION OF Bilwood SMITH
v.
KAVANAUGH, PIERSON AND TALLEY, et al.

No. 89 CA 0668.

Court of Appeal of Louisiana, First Circuit.

June 26, 1990.
Writ Denied October 19, 1990.

*991 John S. White, Baton Rouge, for plaintiff-appellant Earline Jo Jennings Smith, individually and as executrix of the succession of Bilwood Smith.

Paul Spaht, Baton Rouge, for defendant-appellee Joseph H. Kavanaugh, James F. Pierson, Ray W. Talley, Marshall B. Brinkley, Kavanaugh, Pierson & Talley Kavanaugh & Brinkley and New England Insurance Co.

David Ellison, Jr., Baton Rouge, for defendant-appellee James F. Pierson, Jr. J.H. Kavanaugh.

Charles Schutte, Jr., Baton Rouge, for defendant-appellee Aetna Cas. & Surety Co.

Stephen Wilson, Baton Rouge, for defendant-appellee CNA Ins. Companies.

John Combe, Jr., New Orleans, for defendant-appellee Travelers Ins. Co.

Marc Judice, Lafayette, for defendant-appellee Nat. Union Fire Ins. Co.

Michael Colvin, Baton Rouge, for defendant-appellee U.S. Fire Ins. Co.

Justin Ourso, III, New Orleans, for defendant-appellee Appalachain Ins. Co.

Donald Zuber, Baton Rouge, for defendant-appellee St. Paul Fire & Marine Ins.

Jerry A.H. Flynn, Baton Rouge, for defendant-appellee Marshall B. Brinkley.

Before CARTER, SAVOIE and ALFORD, JJ.

SAVOIE, Judge.

This is an action for legal malpractice. Plaintiff, Earline Jo Jennings Smith, individually and as the executrix of the Succession of Bilwood Smith filed suit against Joseph H. Kavanaugh, James F. Pierson, Jr., Roy W. Talley and Marshall B. Brinkley as individual attorneys, as well as the various partnerships which the defendant attorneys created between themselves and their liability insurers. She alleged the defendants committed various acts of malpractice while employed as attorneys for the succession.

Defendants filed an exception of prescription which was heard by the trial court during a three day period in April of 1988. After taking the matter under advisement, *992 the court issued written reasons for judgment sustaining the exception. Plaintiff has appealed the adverse judgment asserting three assignments of error.

FACTS

The record in this matter reflects the following. Mrs. Smith's husband, Bilwood Smith, died on August 10, 1968. Mrs. Smith was then twenty-nine years old. She had four children, ages 2, 3, 5 and 7 and was pregnant with her fifth child. She was not actively involved in the extensive business and banking affairs of her husband prior to his death.

Defendants, who were friends of her late husband, represented the succession as its attorneys. This was done with her consent. On August 16, 1968, Mrs. Smith was confirmed as executrix of the succession and on August 29, 1968, she was appointed provisional administrator. She was then instantly thrust into the complicated financial dealings of her late husband.

Mrs. Smith testified that she wanted to know as much about the affairs of her husband as she could possibly learn. She conversed with her attorneys often, possibly several times a week. When she received letters or pleadings that she did not understand, she would always ask somebody to explain them. However, she also testified that she relied on her attorneys one hundred percent and trusted their judgment in succession matters.

As provisional administratrix she wrote numerous checks on the succession account, lending hundreds of thousands of dollars to Mark C. Smith & Sons, Inc. (MCS, Inc.). MCS, Inc. was a real estate development company owned by her late husband, Mark C. Smith, Jr., her father-in-law and Mark C. Smith, III, her brother-in-law. She identified her signature on a document showing she was the vice-president of MCS, Inc. Shortly after the succession lent the money, MCS, Inc. declared bankruptcy.

The depletion of the succession's cash caused numerous problems. Unable to make payments on notes from numerous other business dealings, the succession was required to execute forced sales of many properties and other properties were lost to foreclosure.

On December 4, 1970, she filed a renunciation of the succession after having been advised by her attorneys that the succession contained more debts than assets.

On June 20, 1973, the Succession of Bilwood Smith and others filed a suit entitled "Mark C. Smith & Sons, etc., et al. v. The Travelers Insurance Company et al." Mrs. Smith, as provisional administratrix, was represented in those proceedings by Henry Klein. The suit alleged the legal malpractice of Kavanaugh, Brinkley and Talley in failing to perfect an appeal of an adverse judgment of an earlier suit against the succession and others.

It appears that defendants continued to represent the succession past the date of the malpractice suit filed in 1973. In October of 1974 defendant Pierson filed a petition for ratification of acts and in December of 1974 a motion to amend a homologating order, both on behalf of Mrs. Smith as provisional administratrix.[1] The succession was never closed and no judgment of possession was ever signed.

A phone call from Lamar Advertising in 1982 asking Mrs. Smith if a sign could be erected on one of the succession properties which had been sold, piqued Mrs. Smith's curiosity about the property. In October of 1982 she asked defendant Pierson for her files. He delivered the succession files in his possession and she also received some files from defendant Kavanaugh's wife. She never returned the files to the defendants. She testified she just wanted to understand what had happened with the various transactions in the succession.

At some point after Mrs. Smith picked up the succession files, she visited the courthouse with a friend, ostensibly to find out who owned the tract of land about which Lamar Advertising had inquired. Notes *993 made on her friend's stationery refer to various succession properties but not the tract about which Lamar had inquired. Mrs. Smith testified she made the notes some time after she received the succession files and before she met David Smith.

Mrs. Smith met David Smith, an accountant and high school acquaintance, in February, 1984, at the National Food Store in Baton Rouge. She had bought an interest in the Marie Antoinette Hotel from the succession, and she claims that she first asked David Smith to look over her interest in that hotel. Within a week Mrs. Smith had gathered some papers on the Marie Antoinette which she brought to David Smith. David Smith's deposition related that within a day or so he returned the file to her and told her that she should consult an attorney.

At that point or perhaps earlier, Mrs. Smith had indicated that she had a large number of other files at her home. David Smith visited her home and observed the files that Mrs. Smith had obtained from Pierson and Kavanaugh.

David Smith started reviewing these files in February, 1984. One of the documents obtained was a personal, certified financial statement of Bilwood Smith dated December 31, 1967, showing a net worth in excess of three million dollars. David Smith was concerned that there were no annual accountings, no final accountings, and no fiduciary return for the full time period. David Smith felt that it was "imperative" that Mrs. Smith prepare an accounting and a final accounting and get it on record.

On February 28, 1984, Mrs. Smith and David Smith met with John White. Mrs. Smith testified that she visited with Mr.

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

Related

Needom v. Robein
7 So. 3d 30 (Louisiana Court of Appeal, 2009)
Carter v. Haygood
892 So. 2d 1261 (Supreme Court of Louisiana, 2005)
Carter v. Haygood
865 So. 2d 824 (Louisiana Court of Appeal, 2003)
In Re Medical Review Panel, Claim of Moses
788 So. 2d 1173 (Supreme Court of Louisiana, 2001)
Wang v. Broussard
708 So. 2d 487 (Louisiana Court of Appeal, 1998)
Perez v. Shook
703 So. 2d 821 (Louisiana Court of Appeal, 1997)
Cormier v. Deren
8 Mass. L. Rptr. 5 (Massachusetts Superior Court, 1997)
Reeder v. North
683 So. 2d 912 (Louisiana Court of Appeal, 1996)
Allen v. Carollo
674 So. 2d 283 (Louisiana Court of Appeal, 1996)
Vaughn v. Slaughter
653 So. 2d 36 (Louisiana Court of Appeal, 1995)
Lima v. Schmidt
595 So. 2d 624 (Supreme Court of Louisiana, 1992)
Abrams v. Herbert
590 So. 2d 1291 (Louisiana Court of Appeal, 1991)
Murphy v. Smith
579 N.E.2d 165 (Massachusetts Supreme Judicial Court, 1991)
Landmark Savings Bank v. Greenwald
582 So. 2d 943 (Louisiana Court of Appeal, 1991)
Landmark Sav. Bank v. Greenwald
582 So. 2d 943 (Louisiana Court of Appeal, 1991)
Rolene Corp. v. Trois Amis, Inc.
572 So. 2d 1089 (Louisiana Court of Appeal, 1990)
Succession of Smith v. Kavanaugh, Pierson & Talley
567 So. 2d 1125 (Supreme Court of Louisiana, 1990)

Cite This Page — Counsel Stack

Bluebook (online)
565 So. 2d 990, 1990 La. App. LEXIS 1683, 1990 WL 88896, Counsel Stack Legal Research, https://law.counselstack.com/opinion/succession-of-smith-v-kavanaugh-pierson-and-talley-lactapp-1990.