Amy L. Stoodt v. Patricia C. Beauvais, wife of/and Christopher B. Beauvais, Jennifer Rice and Dorian M. Bennett, Inc. d/b/a Dorian Bennett Sotheby's International Realty ( 2019 )


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  •                   NOT DESIGNATED FOR PUBLICATION
    STATE OF LOUISIANA
    COURT OF APPEAL
    FIRST CIRCUIT
    2018 CA 1248
    AMY L. STOODT
    VERSUS
    PATRICIA C. BEAUVAIS, WIFE OF/ AND CHRISTOPHER B. BEAUVAIS,
    JENNIFER RICE AND DORIAN M. BENNETT, INC. D/ B/ A DORIAN
    BENNETT SOTHEBY' S INTERNATIONAL REALTY
    Judgment rendered    AUG 0 5 201
    On Appeal from the
    Twenty -Second Judicial District Court
    In and for the Parish of St. Tammany
    State of Louisiana
    No. 2016- 11248, Div. " A"
    The Honorable Raymond S. Childress, Judge Presiding
    Bruce M. Danner                               Attorney for Plaintiff/Appellant
    Madisonville, Louisiana                       Amy L. Stoodt
    Jesse L. Wimberly, III                       Attorneys for Defendants/ Appellees
    Jesse L. Wimberly, IV                        Patricia C. Beauvais and Christopher
    Elizabeth W. Wiedemann                       B. Beauvais
    Mandeville, Louisiana
    BEFORE: McDONALD, CRAIN, AND HOLDRIDGE, JJ.
    HOLDRIDGE, J.
    Plaintiff,   Amy     L.   Stoodt,   appeals   a judgment   rendered   in   favor    of
    defendants, Patricia C. Beauvais and Christopher B. Beauvais,           dismissing this
    lawsuit seeking damages for the breach of an alleged right of first refusal
    agreement.   We affirm.
    BACKGROUND
    On April    15, 2013, the Beauvaises sold a 5. 29 -acre tract with a home
    thereon, located in Bush, Louisiana, to Ms.          Stoodt.   On March 24, 2016, Ms.
    Stoodt filed this lawsuit seeking to recover damages from the Beauvaises, asserting
    that the Beauvaises gave her a right of first refusal on certain property adjacent to
    her 5. 29 -acre tract,   but sold the property subject to that right to third parties
    without notifying her in advance of the sale or offering her the opportunity to
    purchase the property, in violation of the right of first refusal agreement.             Ms.
    Stoodt also sued Jennifer Rice and Dorian M. Bennett, Inc., d/ b/ a Dorian Bennett
    Sotheby' s International Realty ( Bennett), real estate agents who represented the
    Beauvaises in connection with Ms. Stoodt' s purchase of the 5. 29 -acre tract. Ms.
    Stoodt alleged that Ms. Rice acted as a dual agent in the sale, and that the breach of
    Ms. Rice' s fiduciary duties to Ms. Stoodt resulted in the breach of the right of first
    refusal agreement.
    In her petition, Ms. Stoodt asserted that although Louisiana law granted her
    a right of specific performance for a breach of a right of first refusal agreement,
    such remedy was no longer in her interest as the property had been transferred to
    third parties,   whose interests were protected by the Louisiana Public Records
    Doctrine because her right of first refusal agreement was never recorded. Instead,
    Ms. Stoodt sought to recover from the defendants a full refund of the purchase
    price of the 5. 29 -acre tract and all monies expended for improvements,                  or
    2
    alternatively, the loss of value in her property. She also asked for attorney' s fees
    based on a clause in the purchase agreement.
    Following the conclusion of a bench trial, during which considerable
    documentary and testimonial evidence was adduced, the             trial   court    rendered
    judgment in favor of all of the defendants, dismissing Ms. Stoodt' s claims against
    them with prejudice.      In written reasons for judgment, the court found that there
    was sufficient confusion in the legal description of the land subject to the right of
    first refusal so as to render the right of first refusal unenforceable.           The court
    further found that Ms.       Rice owed no duty to Ms. Stoodt when she listed the
    property as she was not representing Ms. Stoodt at the time, but was representing
    the Beauvaises.
    Ms. Stoodt appealed, challenging only that part of the judgment dismissing
    her claim against the Beauvaises.
    DISCUSSION
    A party who demands performance of an obligation must prove the existence
    of the    obligation.    La. Civ. Code art.     1831;   Hoskins v. State, Division of
    Administration,     Office of Community Development, 2018- 1089 ( La. App. 1
    Cir. 2/ 25/ 16),        So. 3d (           2019WL927775 * 3).     The existence of the
    contract and its terms must be proven by a preponderance of the evidence.               Id.
    The existence or non- existence of a contract is a question of fact, and the trial
    court' s determination of this issue will not be disturbed unless manifestly
    erroneous or clearly wrong. Read v.        Willwoods Community, 2014- 1475 ( La.
    3/ 17/ 15), 
    165 So. 3d 883
    , 888.    In order to reverse the trial court' s determination
    that an enforceable right of first refusal agreement was not confected between the
    parties, this court must find from the record that a reasonable factual basis does not
    exist for the finding and that the record establishes that the finding is clearly wrong
    W
    manifestly erroneous).       Stobart v. State, Department of Transportation and
    Development, 
    617 So. 2d 880
    , 882 ( La. 1992).           The issue to be resolved by this
    court is not whether the trial court is right or wrong, but whether the trial court' s
    conclusion   was    a   reasonable   one.   
    Id.
        If the findings of the trial court are
    reasonable in light of the record reviewed in its entirety, this court may not reverse
    even though convinced that had it been sitting as the trier of fact, we would have
    weighed the evidence differently.       Stobart, 617 So. 2d at 882- 883.
    Louisiana Civil Code article 2625 provides for a right of first refusal.
    Pursuant to that provision, ``[ a] party may agree that he will not sell a certain thing
    without first offering it to a certain person.      The right given to the latter in such a
    case is a right of first refusal that may be enforced by specific performance."
    Louisiana Civil Code article 2626 further provides that ``[ t] he grantor of a right of
    first refusal may not sell to another person unless he has offered to sell the thing to
    the holder of the right on the same terms, or on those specified when the right was
    granted if the parties have so agreed."      The right of first refusal regarding the sale
    of an immovable is a contract that must be in writing.             La. C. C. arts. 2623 and
    2629;   Marler v. Jarrell, 2016- 0685 ( La.           App.   1   Cir. 7/ 13/ 17) ( 
    2017 WL 2982523
    ), writ denied, 2017- 1408 ( La. 12/ 5/ 17), 
    231 So. 3d 25
    .
    In this case, the court found that Ms. Stoodt failed to prove the existence of
    an enforceable right of first refusal because the description of the property subject
    to the right of first refusal was not sufficiently explicit so as to allow the court to
    determine what property was subject to the right of first refusal. Essentially, the
    court determined that the " certain thing" requirement of La. C. C. art. 2625 was not
    met in this case.   We shall review the trial court' s finding that Ms. Stoodt failed to
    prove the existence of an enforceable right of first refusal on property sold by the
    Beauvaises to third parties under the manifest error standard of review.
    11
    Documentary Evidence
    The record reflects that in 2012, the Beauvaises hired Ms. Rice to sell their
    36 -acre tract of rural property, on which a custom home, a guesthouse, a workshop,
    a one -acre pond, and a large shed were located. The property was marketed under
    three different listings: the home and 36 +/— acres with all of the improvements
    thereon for $ 690, 000. 00; the home +/-           13 acres and all improvements thereon for
    540, 000. 00; and the home and +/- 4 acres for $490, 000. 00.
    In January of 2013, the Beauvaises, represented by Ms. Rice, and Ms.
    Stoodt, represented by real estate agent Courtney Barrilleaux, began negotiating
    for Ms. Stoodt to purchase the home and additional acreage.                  On January 22, 2013,
    Ms.   Stoodt       signed    a    purchase       agreement    entitled "   Louisiana      Residential
    Agreement        to    Buy   or    Sell"    to   purchase    the   home     and    land   measuring
    approximately 4. 5 acres to be determined by [ a]                   survey"       for the price of
    470, 000. 00.        That day, Mr. Beauvais sent Ms. Rice a memo containing comments
    regarding the Stoodt offer, in which he noted that all had agreed that 5 acres was
    what the parties had discussed, to which he attached a rough drawing showing
    what was described in the offer and what the Beauvaises were proposing to be the
    5 acres.   This drawing, which was also introduced as Exhibit J2 and upon which
    Ms. Stoodt bases her right of first refusal claim, depicts a division of the 36 -acre
    tract described as follows: Parcel A- 18. 25 acres +/-; Parcel B- 4. 65 acres +/-;                 and
    a 13. 1 acre +/-       parcel, on which the home, a pond and, other buildings on the
    property were penciled in. The drawing shows two natural boundaries of the 13. 1 -
    acre tract:   Watts Thomas Road, which fronted the home, and Jim Williams Road.
    On January 22, 2013, Ms. Stoodt signed an addendum to the purchase agreement.
    The addendum stated that the parties agreed that a legal survey would be
    completed     to      establish   the "   to be purchased parcel"          prior   to   Ms.   Stoodt' s
    5
    inspection, that " 8- 9 acres that is manicured lawn today that will not be purchased
    shall be maintained on a minimum basis to include mowing reasonably frequent
    intervals to be agreed between buyer and seller"          and the following language on
    which Ms. Stoodt' s claim is based:
    Purchase [ sic] to have first right of refusal on remaining property 8 to
    9 acres that would have been included in a 13 acre plus the house
    purchase. (   see exhibit A).
    The parties further agreed that the specific requests associated with the land
    include minimum amounts of land at the back of a mother in law house and the on
    the sides of a concrete pad at the carports, that the land to the south be symmetrical
    such that the house is at or near the center line of the " to be purchased parcel" and
    that there be a 50 foot set -back on all sides of the " to be purchased parcel."
    Exhibit A attached to the January 22, 2013 addendum is a drawing prepared
    by Mr. Beauvais using a computer program and is dated January 24, 2013.                It
    shows the home situated on a 5. 29 -acre tract of land, facing Watts Thomas Road,
    and containing 50 -foot setbacks on the remaining 3 sides of the property. A pond
    is shown to the rear of and outside of the 5. 29 -acre tract. The exhibit references
    the coordinates of the entire 36 -acre tract. However, there is no reference to a 13
    or 13. 1 - acre tract on Exhibit A, and there is no reference whatsoever on this exhibit
    as to what property was subject to Ms. Stoodt' s right of first refusal.             The
    Beauvaises agreed to the addendum to the purchase agreement, signing that
    document on January 24, 2013.            A counteroffer was made by Ms. Stoodt on
    January 25, 2013, to amend the purchase offer to read "+/- 5. 29- acre tracts, as per
    attached ( exhibit `` A')   dated 1/ 24/ 13,"   which was accepted by the Beauvaises on
    January 26, 2013.
    Following     the     execution    of    a   purchase   agreement,   Mr.   Beauvais
    commissioned a survey which subdivided the 36 -acre tract into 2 lots: Lots 2- A
    0
    and 2- B.   Lot 2- B depicts the 5. 29 -acre tract and home thereon, while Lot 2- A
    reflects the remaining property.        There is no reference in this survey, dated
    February 6, 2013, to the property on which Ms. Stoodt claims to have a right of
    first refusal.
    On April 15, 2013, the Beauvaises and Ms. Stoodt executed an Act of Sale
    of the 5. 29 -acre tract with the home and other improvements thereon. The Act of
    Sale references the February 2013 survey. The Act of Sale contains no mention of
    Ms. Stoodt having a right of first refusal over any of the remaining property.
    At the end of April, 2015, Ms. Stoodt notified Mr. Beauvais through text
    messages that she was preparing to sell her home. She apprised Mr. Beauvais that
    realtors had asked about other acreage, and she informed them that Mr. Beauvais
    still owned the property and had been interested in selling the property when she
    purchased the home two years earlier.        Mr. Beauvais thanked Ms. Stoodt for the
    heads up" and asked her whether she still required notification if he decided to put
    the land up for sale.       He stated, " I think you have some sort of right of first
    refusal."   Ms. Stoodt responded that the first right was " still in play technically by
    our sales agreement."      She continued, "[ e] ven though less likely I would exercise
    it."   Mr. Beauvais responded that he would try to cut the grass more often so that
    the property would look nice for her showings, and informed Ms. Stoodt that if she
    found someone who wanted her house and more land, the Beauvaises would work
    with her on that, to which Ms. Stoodt responded, " Absolutely -will             keep you
    posted."
    On May 6, 2015, Ms. Stoodt listed her 5. 29 -acre tract and the improvements
    thereon for sale with Ms. Rice' s agency for the asking price of $675, 000. 00. The
    advertisement for the sale listed, with respect to " grounds," a " 1St Right on Land,"
    and that the "[
    p] rior owner and [ o] wner of acreage willing to sell additional land."
    7
    On May 27, 2015, the Beauvaises signed an agreement with Ms. Rice' s agency to
    list Lot 2- A, measuring 31. 5 acres, for sale. Ms. Stoodt' s listing with Ms. Rice' s
    agency was cancelled on July 10, 2015.
    The record contains an undated email authored by Mr. Beauvais in which he
    mentions having a survey done that day, and he expected a final plat soon, at which
    time he would begin the re -subdivision process. He wrote, " Funny Note --Ran into
    Ms. Stoodt] while surveying. Very nice to me. Told her what we were doing but
    didn' t state that a portion of it was under contract.           No bites on her house --
    surprised?
    On December 4, 2015, the Beauvaises sold 12 acres of the remaining 31
    acres to Dona and Thompson Waller, designated as Lot 2- A3 on a survey prepared
    on September 25, 2015.          The September 25, 2015 survey shows the re -subdivision
    of Lot 2- A into Lots 2- A1, 2- A21 2- A3, and 2- A4.            Lots 2- A1 and 2- A2 are
    adjacent to Ms. Stoodt' s 5. 29 -acre tract, while Tract 2- A3 is partially adjacent to
    and partially to the rear of the 5. 29 -acre tract, and includes the pond that was
    omitted from Ms. Stoodt' s sale.          On February 3, 2016, the Beauvaises sold Lot 2-
    A2 to the Wallers.
    On January 23, 2017, Ms. Stoodt filed a Notice of Lis Pendens into the
    registry    of   St.   Tammany        Parish,   referencing her lawsuit filed against the
    Beauvaises.      In the notice, Ms. Stoodt stated that the object of the lawsuit was to
    determine the existence of a right of first refusal regarding property adjacent to Lot
    2- 13,   comprised     of " eight (   8) to nine ( 9) acres which formed a portion of the
    original thirteen ( 13)      acre parcel offered for sale and from which [ Ms. Stoodt]
    purchased 5. 290 acres ( Lot 2- 13) and which are now comprised of Lots 2- A1, 2- A2,
    and a portion of Lot 2- A3."
    On January 31, 2017, the Beauvaises sold Lot 2 -Al to Michael Slemmer, Jr.,
    containing 2. 339 acres, also adjacent to Ms. Stoodt' s 5. 29 -acre tract and on which
    Ms. Stoodt claimed to have a right of first refusal. This sale was made without a
    title examination.
    Testimonial Evidence
    Mr. Beauvais testified when he initially listed his 36 -acre tract for sale, Ms.
    Rice suggested that it be marketed in different sizes at different price points. One
    of the listings marketed the property as being comprised of 13 acres, a custom-built
    home,     and all of the improvements on the property.                  This   13 -acre tract was
    bounded on the north and west by roadways.               Mr. Beauvais acknowledged that he
    prepared Exhibit J2 from a program on his computer, and admitted that he was
    willing to sell what appeared on the MLS listing and on Exhibit J2                            for
    540, 000. 00. 1 Mr. Beauvais further testified that Exhibit J2 was done to illustrate
    a way a buyer could purchase 13 acres, the home, and other features of his
    property.
    Mr. Beauvais testified that he prepared Exhibit A, attached to the purchase
    agreement, which depicts the 5. 29 -acre tract contained in four boundary lines, but
    nothing else on that document. He further admitted that if one was facing the
    home, everything to the left of the 5. 29 -acre tract to the public road, and to the
    public road to the front of the property, was contained in the 13. 1 acres depicted in
    Exhibit J2.      However, he could not recall having provided Exhibit J2 to Ms.
    Stoodt, and did not remember reviewing or discussing the property depicted in that
    document with Ms. Stoodt.          Mr. Beauvais was unable to say if the reference to the
    1
    During Mr. Beauvais' testimony, when he was asked to look at Exhibit J3, reflecting the
    purchase agreement, his attorney made a continuing to the use of parole evidence to contradict
    the terms of the document.     The trial court noted the objection and its continuing nature, but
    stressed that if the court was to comprehend what the right of first refusal contemplated, it was
    necessary for the court to receive evidence on the intent of the parties.
    9
    13 acres on Exhibit A was intended to reference the 13. 1 acres reflected on Exhibit
    J2.   He pointed out that Exhibit A does not have any reference to the 13 -acre tract
    and insisted that he did not know where the 13 acres referenced in Exhibit A was
    located.   He also denied knowing where the 8 or 9 acres referenced in the right of
    first refusal were located, explaining that Exhibit A had no reference to 8, 9, or 13
    acres.
    Mr. Beauvais admitted that if one subtracted the 4. 5 acres listed originally
    on the purchase agreement from 13 acres, that figure would be between 8 and 9
    acres.    However, Mr. Beauvais did not recall discussing the right of first refusal
    with Ms. Stoodt before signing the purchase agreement and the counteroffer, and
    was not sure what Ms. Stoodt wanted, but thought that Ms. Stoodt wished to stay
    on the property for some time and wanted to be able to purchase additional
    property at a future date.      He did not recall discussing with Ms. Stoodt any
    intention on her part to protect her property from future developments.
    Mr. Beauvais acknowledged that he agreed, in the purchase agreement, to
    maintain 8 to 9 acres of property that would not be purchased by Ms. Stoodt., and
    that he did cut grass for Ms. Stoodt to fulfill this condition; however, he never cut
    8 or 9 acres because the property was partially wooded.     He stated that he mowed
    about 4 acres.      When asked whether the 8 to 9 acres he agreed to maintain
    prompted his memory as to where the 8 or 9 acres referred to in the right of first
    refusal was located, Mr. Beauvais responded that it did not assist him at all,
    explaining that it made it more confusing for him because the place they referenced
    he would maintain was half in the woods. However, Mr. Beauvais admitted that he
    did recognize the methodology in place to determine the amount of acreage the
    right of first refusal contemplated.
    10
    Mr. Beauvais could not recall walking the property with Ms. Stoodt prior to
    her purchase of the 5. 29 -acre tract and did not recall having discussions alone with
    Ms. Stoodt.   According to Mr. Beauvais, all discussions took place with his agents,
    Ms.   Stoodt' s   agent,   or both.   Mr.   Beauvais specifically could not recall a
    conversation with Ms. Rice, Ms. Stoodt, and another real estate agent during which
    Ms. Rice advised him not to sign the document containing the right of first refusal
    language because it would affect the marketability of the remaining portion of his
    property.
    Mr. Beauvais testified that it was contemplated that a surveyor had to
    prepare an official plat of the property, which had to be resubdivided, before the
    property could be sold to Ms. Stoodt.       He acknowledged that when he appeared at
    the closing on the property, he believed Ms. Stoodt had a right of first refusal, and
    after the Act of Sale was executed, he believed that Ms. Stoodt had such a right.
    Mr. Beauvais also admitted that the three lots sold to third parties were part of the
    13 -acre tract depicted on Exhibit J2.      According to Mr. Beauvais, neither he nor
    anyone on his behalf submitted any offers received from the third parties to Ms.
    Stoodt for her consideration prior to selling those lots.
    Mr. Beauvais was convinced that Ms. Stoodt, knew in fact that the property
    on which she claims the right of first refusal was being sold to others and did
    nothing to express any objection thereto. He explained that in 2015, he was made
    aware that Ms. Stoodt wanted to sell her property, and he recommended that she
    hire Ms. Rice as her agent. Mr. Beauvais testified that he told Ms. Stoodt in 2015
    that he had a pending agreement on the back 12 acres of property when he spoke to
    her while he was having the property surveyed for another re -subdivision.
    However, according to Mr. Beauvais, Ms. Stoodt said nothing at that time and did
    not say that she wanted to buy some of the property.        Mr. Beauvais testified that
    11
    Ms.   Stoodt never offered to buy more land after her purchase, and he did not
    believe that Ms.   Stoodt was interested in purchasing more property from him
    because she was trying to sell her own property and leave town.
    Ms. Barrilleaux, who had been a realtor for approximately one year when
    she represented Ms. Stoodt in the purchase negotiations, acknowledged that she
    helped prepare the purchase agreement and recalled discussing Ms. Stoodt' s right
    of first refusal. While she could not remember the specific property subject to the
    right of first refusal, she believed it was the land adjacent and to the left of the
    home on the property, and that the 13 -acre tract included the land facing Ms.
    Stoodt' s home from Thomas Watts Road to the left, or to the north of Ms. Stoodt' s
    property.   Ms. Barrilleaux agreed that the MLS listing of the 13 -acre tract and
    Exhibit J2 were related.    Ms. Barrilleaux acknowledged that there was no way to
    tell where the boundaries of the property subject to the right of first refusal were
    located by looking at Exhibit A to the purchase agreement.        She could not recall
    the parties having discussed the eastern boundary of the land subject to the right of
    first refusal during negotiations. Ms. Barrilleaux recalled sitting at a table in the
    Beauvaises' home discussing the purchase agreement and also recalled discussing
    the right of first refusal, but could not recall if that discussion took place at that
    time or if all the parties were present when the right of first refusal was discussed.
    Ms. Barrilleaux testified   that she asked the closing attorney to send Ms.
    Stoodt all of the documents a few days in advance of the sale of the 5. 29 -acre tract
    for Ms. Stoodt to review.    She believed Ms. Stoodt had a copy of the Act of Sale
    prior to going to the notary' s office to execute it, and stated that Ms. Stoodt made
    no objection to her about the language of the Act of Sale.       Ms. Barrilleaux was
    present when the Act of Sale was executed, and she did not remember if the right
    of first refusal was not referenced in that document.          However, neither Ms.
    12
    Barrilleaux nor Ms. Stoodt brought the omission to the attention of the attorney
    who handled the closing, and no one at the closing discussed the right of first
    refusal.   Ms. Barrilleaux further testified that Ms. Stoodt never contacted her after
    the sale to ask about the right of first refusal and never told her that the Beauvaises
    were selling the property on which Ms. Stoodt thought she had a right of first
    refusal.
    Ms. Rice, a realtor for 25 years,           testified that the listing she prepared
    referencing the sale of a 13 -acre tract with the home located thereon was intended
    to be a " floating description"    of the property and did not reference any particular
    property line.      She stated that she prepared the 13 -acre MLS listing and she was
    not thinking of any specific 13 acres when she created the listing.        She noted that
    there were no drawings attached to the MLS listing and that no survey had been
    done at the time that she listed the property.        Ms. Rice testified that she has done
    right of first refusals many times and never went to closing without a separate
    document specifying the right of first refusal. She emphasized that the right of first
    refusal at issue did not specify the 13 acres subject to it and did not specify the type
    of right of first refusal, and testified that she anticipated the preparation of another
    document to go along with it, as she had done every time she handled a right of
    first refusal.
    Ms. Rice denied having advised the Beauvaises not to sign an agreement
    with a right of first refusal in it.   She admitted that when she went to the closing for
    the sale of the 5. 29 -acre tract, she thought Ms. Stoodt had a right of first refusal.
    However, she anticipated further documents to be prepared so as to clarify the right
    of first refusal.   Ms. Rice acknowledged that when she listed Ms. Stoodt' s property
    for sale in 2015, a right of first refusal was referenced in connection with the
    property offered for sale. Ms. Rice testified that she talked to Ms. Stoodt about
    13
    buying additional acreage, and Ms. Stoodt replied that she was not in a position to
    buy it nor did she want to buy any additional acreage. Ms. Rice admitted that, after
    listing Ms. Stoodt' s property for sale, she had no intention to submit any offers
    made on the Beauvaises' remaining property to Ms. Stoodt for her consideration,
    and did not relay offers to Ms. Stoodt on the property sold to the Wallers and Mr.
    Slemmer.     She also acknowledged that she never told any prospective purchaser
    when marketing Ms. Stoodt' s property that Ms. Stoodt had a right of first refusal
    on the Beauvaises' property. Ms. Rice explained that her reason for not taking any
    of these actions was because the Beauvaises had offered the property to Ms. Stoodt
    and she declined to buy it. She testified that when she represented Ms. Stoodt in
    listing her property for sale, Ms. Stoodt advised her that she was not interested in
    buying any more property because she was trying to leave town. At the same time
    Ms. Rice     listed Ms.   Stoodt' s property for sale, she was also marketing the
    remaining acreage on behalf of the Beauvaises.        Ms. Rice stated that she was
    marketing both properties so that someone could purchase Ms. Stoodt' s property
    and additional acreage owned by the Beauvaises.       Ms. Rice testified there was no
    doubt in her mind that Ms. Stoodt knew that these properties were being marketed
    for sale.
    Ms.
    Stoodt testified that she had the MLS listing, marketing the property
    with the home and +/- 13 acres, before she submitted her offer to the Beauvaises.
    She testified that she walked part of the 13 -acre tract she was considering buying
    with Mr. Beauvais and with her realtor.         She stated that they discussed the
    boundaries of the property: a point behind the sheds, and two roads which actually
    intersected each other.   Ms. Stoodt stated that her realtor also gave her the drawing
    depicted in Exhibit J2 before she submitted her offer. Ms. Stoodt testified that she
    and the Beauvaises, Ms. Rice, and Ms. Barrilleaux all met at the Beauvaises' home
    14
    to clarify some of her concerns. She testified that they discussed her right of first
    refusal at the meeting, and it was a condition of her offer because it was critical for
    her to be able to protect the investment she would be making. According to Ms.
    Stoodt, Ms. Rice advised the Beauvaises not to agree to the right of first refusal
    because it could damage the marketing of their property.        Ms. Stoodt testified that
    during their discussions, she expressed an interest in more than the 4 acres that was
    part of one of the MLS listings and less than the 13 acres that was part of another
    MLS listing if the Beauvaises were agreeable to a right of first refusal on that 13
    acres.
    Ms. Stoodt testified that she wrote the language of the right of first refusal in
    her counteroffer,     which required a survey to define the purchased property.
    According to Ms. Stoodt, what she intended in the right of first refusal could be
    determined by simple math: subtract between the 4 or 5 acres she thought she
    would be purchasing, leaving 8 to 9 acres on which she would have a right of first
    refusal.
    If the survey showed the land she was purchasing was less than 4 acres,
    the right of first refusal would cover 9 acres; however, if the survey showed she
    was purchasing 5 acres, the right of first refusal would cover 8 acres of the 13 -acre
    tract.     According to Ms.    Stoodt,   once the survey demonstrated that she was
    purchasing 5. 29 -acre tracts, the amount of acreage subject to the right of first
    refusal decreased to 7. 71 acres.
    Ms. Stoodt admitted that she did not recall a specific discussion with the
    Beauvaises regarding the methodology on how the acreage subject to the right of
    first refusal would be calculated.       She was adamant that the 13 acres they were
    discussing was represented in the listing of the property for sale, and the parties
    had talked about it prior to her offer as being that portion of land. According to
    Ms. Stoodt, there did not seem to be any question as to the 13 acres of land about
    15
    which they were speaking.        Ms. Stoodt was shown Exhibit A, attached to the
    purchase agreement and which does not depict any 13 or 13. 1 - acre tract, and she
    attempted to identify the boundaries of the portion of land on which she had a right
    of first refusal: the two roadways, the property she was purchasing as the northern
    boundary,   and   the "   point behind the improvements on the east side."           She
    acknowledged that the map attached to the purchase agreement did not show the
    improvements to the east, but insisted that the eastern boundary would have been
    behind the improvements on the back of the property, behind a workshop and shed.
    She further admitted that the eastern boundary of the property subject to her right
    of first refusal had never been surveyed.
    On cross examination, Ms.        Stoodt acknowledged that the MLS listing
    reflected a 13 -acre tract and the drawing in Exhibit J2 referenced a 13. 1 - acre tract;
    however, she believed that 13. 1 acres was the proper description for determining
    the acreage subject to her right of first refusal.   She admitted that the once it was
    determined she was buying a 5. 29 -acre tracts instead of 4 acres, the language in the
    right of first refusal referencing 8 to 9 acres was no longer accurate and that she
    would have to change the 8 or 9 figure to specifically determine how much acreage
    was subject to her right of first refusal.
    Ms. Stoodt testified she insisted on the right of first refusal to protect her
    home and her investment. She stated that she was never given an offer made to the
    Beauvaises for any portion of the 13 acres subject to her right of first refusal before
    the Beauvaises sold that property to third parties. Ms. Stoodt insisted that most of
    the properties that the Beauvaises sold to the Wallers and Mr. Slemmer were part
    of the property on which she had a right of first refusal.       She stated that at one
    point she encountered Mr. Beauvais on the property with a surveyor and Mr.
    Beauvais told her they were having an additional survey done and she became
    16
    suspicious about a potential sale; however, Mr. Beauvais told her there was no
    contract.   She stated that she asked Mr. Beauvais whether he had heard of any
    buyers who may be interested in purchasing the entire acreage and the home, and
    Mr. Beauvais told her that " all buyers are liars."
    Ms. Stoodt also testified that in 2015, she decided to sell her property, as she
    was going to retire and wanted to move back to her home.       She enlisted Ms. Rice
    as her agent to sell the home and 5. 29 -acre tract, and she and Ms. Rice had several
    discussions as to how the right of first refusal would be managed.         Ms. Stoodt
    insisted that she was asked by Ms. Rice' s associate to waive the right of first
    refusal, and she refused to.   According to Ms. Stoodt, the right of first refusal was
    listed as an amenity because at the time she listed her property, the Beauvaises had
    not listed their property for sale, and she did not believe that she needed to exercise
    her option unless the Beauvaises had a purchaser for the property. When the
    Beauvaises also decided to sell their property, Ms. Stoodt admitted that she was
    willing to cooperate with them and agreed to work with them to sell her home and
    acreage as well as their property. She further admitted that her realtor asked her if
    she was interested in purchasing the rest of the acreage owned by the Beauvaises.
    Ms. Stoodt stated that she told the realtor she did not want to purchase additional
    acreage unless she needed to protect her investment.     She denied telling the agent
    she did not want to purchase additional property.
    Ms. Stoodt insisted that she would not have purchased the home and 5. 29 -
    acre tract and would not have made improvements thereon had she known her right
    of first refusal would not be honored.   According to Ms. Stoodt, one of the reasons
    she wanted the right of first refusal was to prevent anyone from putting a mobile
    home on the adjoining property, which would have reduced the value of her
    property.   However, she acknowledged that there were other manufactured homes
    17
    in the area across the street from her home.       She also testified that she had not
    gotten any offers on her property so far, and answered " potentially" when asked
    whether the last thing she would want to do is add another tract to that property.
    Ms. Stoodt testified that she had " many" viewings of her home where the lack of
    additional land had been an issue and those potential buyers " walked away."          She
    also testified that she recently had a buyer pass on her home because of the trailer
    on Mr. Slemmer' s property. However, none of these interested buyers testified at
    trial.   Although Ms. Stoodt had filed a notice of lis pendens in the mortgage
    records and Mr. Slemmer purchased his property without a title search, Ms. Stoodt
    did not file a lawsuit against Mr. Slemmer. She also did not sue Ms. Barrilleaux or
    the notary who prepared the Act of Sale without referencing the right of first
    refusal therein.    She further admitted that at some time after Ms. Rice listed her
    property in 2015, the property appraised at $ 595, 000. 00.
    In this appeal, Ms. Stoodt asserts that the trial court erred in concluding that
    her right of first refusal was unenforceable due to an inadequate legal description
    of the property subject to the right. She argues that the evidence demonstrated that
    the parties'   clear intent was to provide her with a right of first of first refusal and
    contends that the parties adopted a methodology to identify the property subject to
    her right of first refusal, which is set forth in the purchase agreement and proven
    by admissible extrinsic evidence. Ms. Stoodt maintains that the property subject to
    her right of first refusal is identified in Exhibit J2 and comprises that acreage
    remaining from the original 13. 1 - acre tract after subtracting the 5. 29 -acre tract she
    purchased from the Beauvaises.
    The Beauvaises counter that the trial court' s judgment is correct because
    there was no " certain thing"    upon which the alleged right of first refusal existed.
    They point out that there was no legal description or survey plat describing the
    W.
    property subject to the alleged right contained in any document associated with the
    purchase agreement or sale of the property to Ms. Stoodt.      The Beauvaises argue
    that the lack of an adequate property description makes the " thing"           uncertain.
    They point out that Ms. Stoodt has admitted there is no survey setting forth the
    eastern boundary of the land subject to her alleged right of first refusal. The
    Beauvaises maintain that Ms. Stoodt' s own testimony proved that there was a lack
    of clarity as to what property was subject to her right of first refusal, and they
    adamantly deny that there was any agreed upon " clear method" upon which to
    determine what property was subject to this alleged right.     Because there was no
    certain thing," the Beauvaises argue, there was no enforceable right of first
    refusal.
    In this case, the trial court ultimately determined that Ms. Stoodt failed to
    meet her burden of establishing that she had an enforceable right of first refusal on
    property sold by the Beauvaises to third parties because the property subject to the
    right claimed was not sufficiently certain.    In making this determination, the trial
    court obviously considered the absence of a clear legal description of the property
    subject to Ms. Stoodt' s claimed right in Exhibit A to the purchase agreement, in
    the Act of Sale transferring the 5. 29 -acre tract to Ms. Stoodt, or in the survey
    prepared in connection with that transfer. Moreover, the record reflects that the
    testimony regarding the parties'   understanding or lack thereof of what property
    was subject to the right of first refusal was conflicting. After thoroughly reviewing
    all of the documentary and testimonial evidence in this case, we cannot say that the
    trial court' s conclusion that Ms.    Stoodt failed to prove the existence of an
    enforceable right of first refusal is clearly wrong or manifestly erroneous.
    19
    CONCLUSION
    For the foregoing reasons, the April 19, 2018 judgment is affirmed.   All
    costs of this appeal are assessed to plaintiff, Amy L. Stoodt.
    AFFIRMED.
    20
    

Document Info

Docket Number: 2018CA1248

Filed Date: 8/5/2019

Precedential Status: Precedential

Modified Date: 10/22/2024