V & S PLANTING CO. v. Red River Waterway Com'n

472 So. 2d 331, 1985 La. App. LEXIS 8977
CourtLouisiana Court of Appeal
DecidedJune 26, 1985
Docket84-573
StatusPublished
Cited by6 cases

This text of 472 So. 2d 331 (V & S PLANTING CO. v. Red River Waterway Com'n) 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
V & S PLANTING CO. v. Red River Waterway Com'n, 472 So. 2d 331, 1985 La. App. LEXIS 8977 (La. Ct. App. 1985).

Opinion

472 So.2d 331 (1985)

V & S PLANTING COMPANY, Plaintiff-Appellee,
v.
RED RIVER WATERWAY COMMISSION, Defendant-Appellant.

No. 84-573.

Court of Appeal of Louisiana, Third Circuit.

June 26, 1985.
Writ Denied October 4, 1985.

*332 Gold, Simon, Weems, Bruser, Sharp, Sues & Rundell, Herbert J. Mang and Peggy St. John, Alexandria, for defendant-appellant.

Charles R. Whitehead, Jr., Natchitoches, for plaintiff-appellee.

Before GUIDRY, KNOLL and KING, JJ.

GUIDRY, Judge.

Plaintiff, V & S Planting Company, orally sublet certain wooded land from Ralph Haire in December of 1980. Plaintiff commenced clearing operations on the land *333 soon after. The owner of the property, The Red River Waterway Commission, evicted plaintiff from the land subsequent to plaintiff's completion of the clearing operations.

Plaintiff filed suit against the Waterway Commission seeking damages for the expenses it had incurred. In an amended petition, plaintiff alleged that it was entitled to recover expenses as a "good faith possessor". The Waterway Commission answered plaintiff's suit with a general denial and urged that plaintiff was not entitled to recover because its loss was occasioned by its own negligence.

The trial court rendered judgment in favor of plaintiff for $6180.00 finding that the Waterway Commission was unjustly enriched by the clearing operations of plaintiff. The Waterway Commission appeals the trial court's judgment urging that the doctrine of unjust enrichment is not applicable in the instant case and, in the alternative, that the damages awarded are excessive.

FACTS

On February 12, 1979, defendant, The Red River Waterway Commission, purchased from the Dunahoe family approximately 212 acres of land situated along the Red River in Natchitoches Parish. The property was acquired by defendant in connection with the Red River Waterway Project. It was the policy of defendant to allow the former owners and their lessees continued occupancy of the lands acquired until such time as the property was needed for the project. In keeping with this policy, the Dunahoes and their lessee were allowed occupancy of the land until needed by defendant.

At the time of the above described sale, the property was under lease by the Dunahoes to Mrs. Velda Haire. This particular lease had been entered into by Mrs. Haire and the Dunahoes on November 1, 1978 for a period of one year at a rental price of $1000.00 per year. The lessee was also given the option to renew the lease for one year periods for the following five years at a yearly rental price to be mutually agreed upon by the parties. The lease further provided that, in the event the land was expropriated or sold, the lease would immediately terminate with adjustments being made for rentals previously paid. The lease was not recorded.

In November, 1979, a new lease was entered into by the Dunahoes and Mrs. Haire. The lease was very similar to the previous year's lease, except for the following:

"The parties acknowledge that said premises have been expropriated by the Red River Waterway Commission but that said Waterway Commission has agreed to give Lessor sixty (60) days notice to remove any cattle or any other objects from said property prior to taking possession. Lessor and Lessee agree that if said notice is given, by the Red River Waterway Commission, that this lease shall terminate immediately and Lessee shall be entitled to a prorata refund of all rentals paid hereunder for the balance of the term of the lease but shall have no other claim against Lessor."[1]

This lease, like the first, was not recorded.

In December, 1980, Mrs. Haire's husband, Ralph Haire, orally sublet the subject property to plaintiff. The sublease was to run for a period of three years at an annual rental of $3,000.00. At the time of the sublease, the property was unsuitable for agricultural use other than grazing. The property was overgrown with briar patches, saplings, etc. In addition, a pecan tree grove on the property had been logged some years before with the tree tops left strewn over the property. In February 1981, plaintiff began clearing operations on the land in order to make it suitable for row crop farming.

Through the clearing operations, plaintiff was able to convert approximately 125 acres into row crop land. The clearing operations were completed on or about February 18, 1981.

*334 By letter dated February 27, 1981, defendant informed plaintiff that it had sixty days to vacate the property.[2] Plaintiff did so and on May 29, 1981, obtained a lease on the property from defendant after public bid. The lease was for a term of seven months at a rental price of $7,370.00. In 1982, plaintiff renewed its lease for an additional year at an annual rental of $6,250.00. In 1983, plaintiff was unsuccessful in its bid on the property and another party obtained a lease on the property for an annual rental of $8,412.22.

At trial, it was established that, as a result of the clearing operations, the rental value of the improved property increased by approximately $70.00 or $80.00 an acre. However, evidence was also adduced at trial that it was the intention of the Waterway Commission, at the time the land was purchased from the Dunahoes, to leave the property wooded for use as a wildlife refuge and primitive campsite area.

UNJUST ENRICHMENT

The theory underlying the remedy of unjust enrichment was explained by our Supreme Court in Edmonston v. A-Second Mortgage Company of Slidell, Inc., 289 So.2d 116 (La.1974):

"... This restitutionary remedy is founded upon principles of unjust enrichment embodied in Civil Code articles 21 and 1965.1 The action derives from the maxim that natural justice requires that no one should be enriched at the expense of another. It is used to fill a gap in the law where no express remedy is provided..." (footnote omitted).

The court in Edmonston, citing their previous decision in Minyard v. Curtis Products, Inc., 251 La. 624, 205 So.2d 422 (1967), set forth the following requirements that a plaintiff must meet in order to prevail in an action for unjust enrichment:

"To deter courts from turning to equity to remedy every unjust displacement of wealth with unregulated discretion, certain limitations are applicable to the actio de in rem verso. The Minyard decision set forth five prerequisites which must be satisfied to successfully invoke the action: 1) There must be an enrichment; 2) there must be an impoverishment; 3) there must be a connection between the enrichment and the impoverishment; 4) there must be an absence of "justification" or "cause" for the enrichment and impoverishment; and 5) the action will only be allowed when there is no other remedy at law, i.e., the action is subsidiary or corrective in nature."

Former Justice Albert Tate, Jr. (now Judge, U.S. Court of Appeals, 5th Circuit) has suggested that in practical terms, the five requisites set forth in Minyard mean that an impoverished plaintiff has a cause of action against an enriched defendant if:

"(i) the defendant receives an "enrichment" (an economic benefit received by his estate, whether by an addition to it or by a prevention of an economic detriment to it, without his furnishing compensation intended to be adequate for it);

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Bluebook (online)
472 So. 2d 331, 1985 La. App. LEXIS 8977, Counsel Stack Legal Research, https://law.counselstack.com/opinion/v-s-planting-co-v-red-river-waterway-comn-lactapp-1985.