92 So. 3d 945
La. Ct. App.2012Background
- Regions Bank filed suit on a December 1, 2006 promissory note against Cabinet Works, L.L.C. and continuing guarantors Chad and Chris Adams.
- Regions sought principal, interest, late fees, costs, and attorney’s fees; Cabinet Works was defaulted and judgment entered, with Regions reserving rights against Chad and Chris.
- Regions moved for summary judgment against Chris; Chad’s summary judgment was granted earlier, leaving Chris as the sole appeal defendant.
- Chris admitted genuineness of the note, security agreement, and his signature but contested interest rates, amounts due, and attorney’s fees; he raised an exception of res judicata based on a purported December 2008 settlement.
- The district court overruled the res judicata exception and granted summary judgment against Chris for the full debt and $10,000 in attorney’s fees, denying Regions’ request for $60,000.
- On appeal, Chris challenges (1) res judicata, (2) summary judgment, and (3) attorney’s fees; Regions seeks increased fees.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether res judicata barred Regions’ claims against Chris | Regions | Adams | No; res judicata failed as no binding, written settlement existed |
| Whether summary judgment was proper against Chris | Regions | Adams | Yes; no genuine issues of material fact remained |
| Whether attorney’s fees of $10,000 against Chris were reasonable | Regions | Adams | Yes; within contractual 25% cap and supported by the record |
Key Cases Cited
- Lizama v. Williams, 759 So.2d 865 (La.App. 5 Cir. 2000) (settlement evidence must be in writing; emails alone insufficient)
- Sims v. USAgencies Cas. Ins. Co., 68 So.3d 570 (La.App. 1 Cir. 2010) (settlement must be in writing; attorney-authority to settle limited)
- Jones v. Gray Ins. Co., 980 So.2d 1 (La.App. 5 Cir. 2008) (limits on consideration of ultimate admissibility of affidavits on summary judgment)
- Hibernia Nat. Bank v. Rivera, 996 So.2d 534 (La.App. 5 Cir. 2008) (waiver and uncontested facts in summary judgment analysis)
- Power Marketing Direct, Inc. v. Chris Foster, 938 So.2d 662 (La. 2006) (standard for reviewing summary judgments on appeal)