91 So. 3d 1174
La. Ct. App.2012Background
- Plaintiffs Scranton, Odom, and Jones each own interests in land in Louisiana inherited from the Jefferson estate.
- Chesapeake hired Ashley Ann to secure mineral leases; Lydia Gunn negotiated with Sockrider for plaintiffs’ interests.
- Dorothy Butler, an ally of Sockrider, invited plaintiffs to retain Sockrider; Sockrider sent plaintiffs a retainer letter and terms were later memorialized in letters noting payments.
- Defendant recorded the lease agreements in October 2008 and pursued amicable enforcement of the agreements on behalf of plaintiffs.
- Chesapeake later canceled the January 15, 2009 bonus payment; Gunn advised plaintiffs to sign, then urged revocation of the agreements.
- Plaintiffs, after consulting other counsel, filed a reconventional demand alleging legal malpractice in February 2010; the trial court sustained a peremption/ prescription exception.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| When did peremption begin for the malpractice claims? | Knowledge of malpractice began in July 2009 when new counsel was hired. | Peremption began in mid-October 2008 or by January 15, 2009 at the latest. | Peremption did not begin until July 2009; claims not perempted as of February 4, 2010. |
| Did recordation of leases cloud title and trigger discovery of malpractice? | Recordation concealed malpractice and delayed discovery. | Recordation was a public act; discovery of malpractice remained the key trigger. | Recordation did not trigger discovery; earliest discovery occurred July 2009. |
| Did Sockrider's pre-hiring acts give rise to a no-cause-of-action dismissal? | There were pre-hiring negligent acts alleged against Sockrider. | No pre-hiring negligence pleaded; only post-engagement malpractice. | No pre-hiring negligence pleaded; however, amendment granted to state a general negligence claim. |
Key Cases Cited
- Teague v. St. Paul Fire and Marine Ins. Co., 974 So.2d 1266 (La. 2008) (knowledge of the cause, not the bad result, starts peremption)
- Campo v. Correa, 828 So.2d 502 (La. 2002) (procedural framework for discovery-based knowledge onset)
- Jenkins v. Starns, 85 So.3d 612 (La. 2012) (prescription mechanics for legal malpractice)
- Everything on Wheels Subaru, Inc. v. Subaru South, Inc., 616 So.2d 1234 (La. 1993) (two or more items of damages may preserve claims when arising from same transaction)
- Ramey v. DeCaire, 869 So.2d 114 (La. 2004) (peremptory exception tests pleading sufficiency)