Williamson Pounders Architects PC v. TUNICA COUNTY

597 F.3d 292, 2010 WL 446092
CourtCourt of Appeals for the Fifth Circuit
DecidedFebruary 10, 2010
Docket09-60063
StatusPublished
Cited by8 cases

This text of 597 F.3d 292 (Williamson Pounders Architects PC v. TUNICA COUNTY) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Williamson Pounders Architects PC v. TUNICA COUNTY, 597 F.3d 292, 2010 WL 446092 (5th Cir. 2010).

Opinion

LESLIE H. SOUTHWICK, Circuit Judge:

This suit is about choice of law. The choices are the law of Mississippi and that of Tennessee. We must choose because an architectural firm brought suit against a Mississippi county and its governing board under a contract that made Tennessee’s law controlling. The Mississippi district court granted summary judgment in favor of the county, finding the contract’s choice was overridden by the public policy of the State in which suit was brought. We AFFIRM.

I. FACTS

In May 2001, Tunica County, Mississippi, and Williamson Pounders Architects (“WPA”) entered into a contract to design the Tunica County River Front Park (the “Project”). WPA then entered into a consultant contract with PDR Engineers, Inc., which the parties refer to by the name of its parent, Tetra Tech. Tetra Tech agreed to provide design and construction administration services for the Project. Tetra Tech was to correspond only with WPA.

On February 7, 2002, WPA and Tetra Tech met with Tunica County representatives. Not included were any members of the Tunica County Board of Supervisors, the County’s governing body. The County’s representatives requested changes in the Project that could substantially increase its scope and its cost. WPA maintains that at this meeting, County Administrator Kenneth Murphree, who is a County employee but not a member of the Board, agreed to the cost increase, which eventually raised the costs from about $18 million to about $22 million.

On April 11, 2002, Tetra Tech submitted to WPA its first “Change Request,” which was a request to be paid for additional work. WPA refused to authorize any additional fees. It informed Tetra Tech that it “was not to discuss this with Tunica.” There was no contractual relation between the County and Tetra Tech. Correspondence between Tetra Tech and WPA continued for over a year, but Tunica County was not notified of Tetra Tech’s Change Requests.

In September 2003, over a year after Tetra Tech first submitted its bills, WPA requested a meeting with Tunica County to discuss Tetra Tech’s charges. Tetra Tech submitted another Change Request in November 2003 for additional services. In May 2004, Tetra Tech, WPA, and Tunica County met to discuss the changes. Tetra Tech submitted a letter to Tunica County in June 2004 that outlined the increases in the Project that “were discussed at [the] meeting last month.” WPA sent a letter to Tunica County requesting payment for the Change Request and later sent the final bill, dated August 5, 2004.

Tunica County refused to pay the additional costs. In December 2006, WPA, and not Tetra Tech, filed suit against Tuni *295 ea County under theories of breach of contract, quantum meruit, and equitable estoppel. WPA sought fees in the amount of $203,195 for additional work performed by Tetra Tech.

The controlling issue is which State’s law applied. The contract between the County and WPA, which was on a standard American Institute of Architects form, contained a choice-of-law provision. Under it, the law of the principal place of business of WPA, which is Tennessee, would govern any disputes. The contract was performed in, and suit was brought in, Mississippi.

More than one dispositive order was entered, then revised. The district court’s analysis changed as the case developed. We need not review the progression of decisions but will explain only the final one.

We summarize the effect of the final decision. The district court held that Mississippi law applied. Tunica County could not be liable for breach of contract prior to the formal notification it received in October 2003 of Tetra Tech’s additional work. All breach of contract claims arising prior to October 2003 were dismissed. The parties stipulated that work performed after that date was minimal, making “futile” any trial just on those claims. WPA was willing to dismiss its post-October 2003 claims. Accordingly, the district court entered a final judgment dismissing all claims and counterclaims on December 18, 2008. WPA appealed. Tunica County cross-appealed.

II. DISCUSSION

The one issue WPA raises on appeal is whether the district court’s decision to apply Mississippi instead of Tennessee law was error. WPA asserts that the contract is clear that Tennessee law applies, and Mississippi public policy does not override the contract.

Choice-of-law questions are reviewed de novo. Abraham v. State Farm Mut. Auto. Ins. Co., 465 F.3d 609, 611 (5th Cir.2006). A district court hearing a diversity suit is to apply the choice-of-law rules of the state in which the action is brought. Cherokee Pump & Equip. Inc. v. Aurora Pump, 38 F.3d 246, 250 (5th Cir.1994) (citing Klaxon Co. v. Stentor Elec. Mfg. Co., Inc., 313 U.S. 487, 61 S.Ct. 1020, 85 L.Ed. 1477 (1941)). Analysis of Mississippi’s choice-of-law principles for this diversity case that was heard by a Mississippi district court is therefore necessary.

Article 9 of the contract between the County and WPA contains a choice-of-law provision: “This Agreement shall be governed by the law of the principal place of business of the Architect.” The principal place of business for WPA is Tennessee. Generally, “courts will give effect to an express agreement that the laws of a specified jurisdiction shall govern, particularly where some material element of the contract has a real relation to, or connection with, such jurisdiction.” Miller v. Fannin, 481 So.2d 261, 262 (Miss.1985). This general principle is “respected in the absence of anything violating the public policy of the forum jurisdiction.” Id.

The Mississippi Supreme Court decision that both parties rely upon contains a comprehensive explanation of the state’s choice-of-law principles, written by the scholarly Justice James L. Robertson. Boardman v. United Servs. Auto. Ass’n, 470 So.2d 1024 (Miss.1985). The court held that the primary rule is the “center of gravity” concept, which focuses on “which state has the most substantial contacts with the parties and the subject matter of the action.” Id. at 1031. Important for us is that Boardman recognized two “nu *296 anees” in Mississippi’s choice-of-law analysis. First, the law of a single state does not necessarily control all of the issues in the case; instead, the center of gravity approach must be applied to each issue presented. Id. Second, where the center of gravity pulls forcefully on another state’s law but that law is “contrary to the deeply ingrained and strongly felt public policy of this state, ... we may nevertheless apply and enforce this state’s positive substantive law.” Id.

We look at the claims presented in the district court in order to assess their center of gravity. WPA made breach of contract, quantum meruit, and equitable estoppel claims. The quantum meruit

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Bluebook (online)
597 F.3d 292, 2010 WL 446092, Counsel Stack Legal Research, https://law.counselstack.com/opinion/williamson-pounders-architects-pc-v-tunica-county-ca5-2010.