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71 So. 3d 1059
La. Ct. App.
2011
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Background

  • Dugas purchased property at 1201 Governor Nicholls St., New Orleans, which suffered damage from Hurricane Katrina.
  • In 2006 Dugas contracted Thompson to dismantle and rebuild a leaning exterior brick wall; a large section collapsed in Nov. 2006.
  • City of New Orleans issued building-code-imminent-danger notices in Dec. 2006, demanding corrective action and demolition/removal of hazards.
  • Hamp's Construction (Hamp's) under a City Demolition Contract removed debris and salvageable materials during demolition work.
  • Dugas filed suit in Nov. 2007 against Thompson and insurer; Hamp's added in June 2009; Hampton/Hamp's moved to dismiss for prescription.
  • Trial court sustained peremptory exception of prescription; Dugas appeals, arguing tolling theories and contract-based remedies.

Issues

Issue Plaintiff's Argument Defendant's Argument Held
Whether Dugas' claim against Hamp's prescribes Dugas argues ten-year benefit or tolling via third-party stipulation or unjust enrichment. Hamp's asserts one-year prescriptive period for tort/conversion and no valid tolling. Prescription sustained; claims prescribed.
Whether joint tortfeasor interruption applies Thompson and Hamp's are joint tortfeasors; interruption against Thompson interrupts Hamp's. Final partial judgment showed not joint tortfeasors; interruption not available. No joint-tortfeasor interruption due to final judgment against Thompson.
Whether contra non valentem tolling applies Dugas asserts discovery of the Demolition Contract salvaging provision tolls prescription. Knew Hamp's identity in Dec. 2006; tolling not available. Contra non valentem not applicable; prescription began Dec. 2006.
Whether Hamp's contract creates a stipulation pour autrui for Dugas Contends length salvage clause benefits Dugas as third-party beneficiary. Contract excludes third-party beneficiaries; no manifest, certain benefit. No stipulation pour autrui; contract does not confer third-party beneficiary status.
Whether unjust enrichment supports relief Argues Hamp's enrichment at Dugas's expense rationalizes recovery. Unjust enrichment unavailable where another remedy (tort) exists; but prescribed. Unjust enrichment claim rejected; other remedies prescription bar.

Key Cases Cited

  • Monroe Scrap Material Co., 189 La. 573 (La. 1938) (contra non valentem tolling interrupted until tortfeasor identified)
  • Joseph v. Hospital Service Dist. No. 2 of Parish of St. Mary, 939 So.2d 1206 (La. 2006) (three criteria for third-party beneficiary (stipulation pour autrui))
  • Davis v. City of Baton Rouge, 383 So.2d 1057 (La. App. 1st Cir. 1980) (city salvage provision not compensable; salvaged materials incidental)
  • Cooper v. Louisiana Dept. of Public Works, 870 So.2d 315 (La. App. 3 Cir. 2004) (limits of third-party beneficiary in public works contracts)
  • Jim Walter Homes v. Jessen, 732 So.2d 699 (La. App. 3 Cir. 1999) (unjust enrichment remedy not available where another remedy exists)
Read the full case

Case Details

Case Name: Dugas v. Thompson
Court Name: Louisiana Court of Appeal
Date Published: Jun 29, 2011
Citations: 71 So. 3d 1059; 2011 La.App. 4 Cir. 0178; 2011 La. App. LEXIS 832; 2011 WL 2581767; 2011-CA-0178
Docket Number: 2011-CA-0178
Court Abbreviation: La. Ct. App.
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