JPS Equipment, LLC v. Cooper
188 So. 3d 1106
La. Ct. App.2016Background
- In 2009 JPS rented an excavator to North End Farms; David Cooper signed a two‑page “rental agreement” at delivery but admitted he did not read it. The back page contained a clause obligating the customer to pay the lessor’s legal fees in enforcing the agreement.
- While Cooper was operating the excavator a tree fell on it, causing $8,248.14 in damage; JPS sued for that amount in 2010 and later amended its petition to allege contract damages from the 2009 rental agreement.
- At trial Cooper argued he was not informed he needed insurance, believed the dealer provided or required insurance based on prior practice with other dealers, and asserted he signed only a delivery ticket; his secretary testified she sometimes signed his name with his permission.
- The trial court found Cooper liable based on the signed rental agreement, awarded $8,248.14 plus legal interest, but declined to award attorney fees because the court believed the back page containing the fee clause was not in the record.
- On appeal the court affirmed liability and damages, held the back page was in the record (admitted at trial), reversed the fee denial, remanded to the trial court to determine reasonable trial attorney fees, and awarded $1,000 for JPS’s appellate attorney work.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Enforceability of signed rental agreement | JPS: Cooper’s signature binds him to the agreement and its allocation of risk. | Cooper: He signed only a delivery ticket, was not shown contract terms, and had no meeting of the minds. | Court: Signature presumes knowledge of contents; agreement binding; liability affirmed. |
| Responsibility for damage to rented equipment | JPS: Contract placed responsibility for care on renter; damages are owed. | Cooper: Dealer failed to inform him insurance was required; therefore he should not be liable. | Court: No manifest error in finding Cooper liable under the signed contract. |
| Adverse presumption for failure to call delivery/sales witnesses | JPS: Not raised below; witnesses were not necessarily available and were equally accessible to defendants. | Cooper: JPS should have called salesman and deliveryman who could explain what was presented. | Court: Issue not preserved; even considered, no merit because witnesses were not clearly under plaintiff’s control. |
| Award of attorney fees under contract | JPS: Paragraph 17 obligates customer to pay lessor’s legal fees; fees were admitted exhibit. | Cooper: Trial court declined fees because it thought back page was not in record. | Court: Back page was admitted; reversal of denial; remand to determine reasonable trial fees; $1,000 awarded for appellate fees. |
Key Cases Cited
- Tweedel v. Brasseaux, 433 So.2d 133 (La. 1983) (person who signs an instrument is presumed to know its contents)
- Williams v. Interstate Dodge Inc., 34 So.3d 1151 (La. App. 2d Cir. 2010) (same principle regarding signed instruments)
- Burks v. Affordable Mortgage, L.L.C., 961 So.2d 618 (La. App. 2d Cir. 2007) (signed documents bind signatory)
- Shreveport Great Empire Broad., Inc. v. Chicoine, 528 So.2d 633 (La. App. 2d Cir. 1988) (agreements have the effect of law on parties)
- Greely v. OAG Properties, LLC, 12 So.3d 490 (La. App. 2d Cir. 2009) (signature presumption applies)
- First South Farm Credit, ACA v. Gailliard Farms, Inc., 880 So.2d 223 (La. App. 2d Cir. 2004) (contract formation and obligations)
- Glasscock v. Bd. of Sup’rs of La. State Univ., 174 So.3d 757 (La. App. 2d Cir. 2015) (trial court discretion on adverse presumption for uncalled witnesses)
- Bartley v. Fondren, 999 So.2d 146 (La. App. 2d Cir. 2008) (uncalled witness rule and its application)
- Easter v. Direct Ins. Co., 957 So.2d 323 (La. App. 2d Cir. 2007) (rebuttable nature of adverse presumption)
- Geiger v. State ex rel. Dep’t of Health & Hosp., 815 So.2d 80 (La. 2002) (appellate courts will not consider issues raised for first time on appeal)
- Segura v. Frank, 630 So.2d 714 (La. 1994) (preservation rule for appellate review)
