Dinah Fontanille v. Stephanie Reynolds Robertson, wife of and Byron Todd Robertson ( 2020 )


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  •                          NOT DESIGNATED FOR PUBLICATION
    STATE OF LOUISIANA
    COURT OF APPEAL
    FIRST CIRCUIT
    P We, 167 JTW                         2019 CA 1135
    T(      4 )                       DINAH FONTANILLE
    VERSUS
    STEPHANIE REYNOLDS ROBERTSON, WIFE OF
    AND BYRON TODD ROBERTSON
    Judgment Rendered:           MAY 2 8 2029
    On Appeal from the Twenty -First Judicial District Court
    In and for the Parish of Tangipahoa
    State of Louisiana
    Docket No. 2017- 0000064
    Hon. Robert H. Morrison, III, Judge Presiding
    Brenda Braud                              Counsel for Plaintiff/ Appellant
    Corbett L. Ourso, Jr.                     Dinah Fontanille
    Hammond, Louisiana
    Harvey W. Cook                            Counsel for Defendants/ Appellees
    Hammond, Louisiana                        Stephanie Reynolds Robertson and Byron Todd
    Robertson
    EWWWWW3
    BEFORE:     McCLENDON, WELCH, AND HOLDRIDGE, JJ.
    McCLENDON, J.
    Plaintiff/ lessee seeks review of the trial court's judgment granting summary
    judgment in favor of the defendants/ lessors, dismissing lessee' s suit with prejudice, and
    ordering lessee to pay lessors' attorney's fees and costs. For the reasons that follow, we
    affirm.
    FACTS AND PROCEDURAL HISTORY
    On   November          24,    2015,    Stephanie        Reynolds   Robertson             and   Byron   Todd
    Robertson ( lessors)        and        Dinah    Fontanille ( lessee)    entered        into    a    written   contract
    entitled " Lease      with Option to Purchase — Immovable" ( Lease -Option Agreement) for a
    residence. Pursuant to the terms of the Lease -Option Agreement, lessee would pay to
    lessors $ 900 per month for a             period of two years, beginning on January 1, 2016, and
    ending on December 31, 2017 ( lease). The Lease -Option Agreement further provided
    for an option to purchase, as follows:
    VII.
    The LESSOR[ S] and LESSEE further agree that the LESSEE, in
    consideration of the sum of $ 25, 000. 00 paid contemporaneously with the
    execution of this lease, shall have the right and option to purchase the
    aforesaid described property, including improvements under the following
    terms and conditions:
    a.    It   is    understood       that     the $ 25, 000. 00     is     the       negotiated
    consideration for the option and shall be non- refundable in the event the
    LESSEE] does not exercise the option to purchase at the termination of
    the lease.
    b.    The exercise of the option to purchase shall be communicated
    in writing by LESSEE to LESSORS at their address set forth in this
    agreement on or before the 1St day of November, 2017.
    c.] The sales price shall be $ 149, 500. 00 with [ LESSEE] receiving
    credit for the option payment of $25, 000. 00 towards the sales price.
    VIII.
    It is declared between the parties that if any rental [ is] more than
    thirty ( 30) days in arrears or if the LESSEE does not perform the
    conditions required in this agreement then the LESSOR[ S] shall have the
    option to seek cancellation of this lease and have LESSEE evicted. It is
    further agreed that there shall be a late fee in the amount of $ 50. 00
    dollars for each payment received ten days late. If the lease is terminated
    voluntarily or involuntarily, then the option money is forfeited.
    2
    IX.
    If this lease is terminated by its term or the lease is canceled by
    non- performance        of   an      by the LESSEE, the LESSEE is
    obligation
    obligated to immediately surrender possession, and should LESSEE fail to
    do so, LESSEE consents to pay as liquidated damages five ( 5) times the
    rent per day with attorney fees and costs.
    X.
    If either party is required to employ an attorney to enforce this
    contract, then the prevailing party shall be entitled to receive reasonable
    attorney fees and all court costs in conjunction with the legal proceedings.
    13    The      Lease -Option Agreement was               recorded     in   the   official   records of
    Tangipahoa Parish.
    Lessee tendered, and lessors accepted,                   written "   IOU' s"   in lieu of cash rent
    payments in May, June, and August of 2016. R. 25 45. On August 30, 2016,                                      Mr.
    Robertson     and      lessee   executed      a   document          entitled "     Cancellation     of     Lease"
    Cancellation), which was then recorded in the official records of Tangipahoa Parish,
    The Cancellation referred to the Lease -Option Agreement and stated "[ s] aid [ I] ease had
    a termination date of August 30, 2016." The Cancellation further provided:
    They further [ declare] that the lease was terminated by mutual consent of
    the parties and they desire that the same be and is hereby cancelled and
    they further [ direct] the Clerk of Court and Recorder of Conveyances for
    the Parish of Tangipahoa to make a notation of this cancellation in the
    margins of that certain Lease/ Rental Agreement recorded at COB 1398,
    page 742 of the Official Records of Tangipahoa Parish[.]
    The Cancellation did not contain any language specifically addressing the option to
    purchase. R. 33'.
    On September 9, 2016, lessee notified lessors in writing that she intended to
    exercise the option to purchase.' Mr. Robertson responded and informed lessee that the
    property had been placed for sale with a real estate agent. Mr. Robertson further
    informed lessee that lessors would not credit the option money towards the purchase
    price of the property, unless: lessee also paid rent for May, June, and August of 2016;
    lease   payments       for   September, October,           and    November of 2016;            a    real   estate
    commission;      the    costs   of the    Cancellation;      various     costs      lessors   incurred      when
    preparing the property for sale; and attorney's fees.
    Lessee also contends that she had previously given verbal notice to Mr. Robertson that she intended to
    exercise the option to purchase at the time the Cancellation was executed. Lessors dispute this claim.
    3
    Lessee filed suit naming lessors as defendants on January 9,           2017.     Lessee
    alleged that although the Cancellation stated that the lease terminated on August 30,
    2016, it " contained no provision whatsoever for cancellation of the [ o] ption to purchase
    at termination of the lease," and therefore the Cancellation did not cancel the option to
    purchase.   Lessee sought damages for the alleged breach of the option to purchase,
    specific performance of the option to purchase, and all legal fees and court costs. R 3
    On January 25, 2017, Lessee filed a notice of lis pendens regarding the instant suit in
    the official records of Tangipahoa Parish.                  TheThe notice of lis pendens was
    later cancelled on October 5, 2018. R.,35 -
    On March 13, 2017, lessee filed a motion for preliminary default, asserting that
    although lessors were properly served they had failed to file responsive pleadings within
    the applicable statutory delays. R. 1     On March 15, 2017, lessors answered the suit
    and asserted a reconventional demand. R 12. 16. Lessors asserted that the lease had
    been terminated at lessee' s request because lessee was unable to afford the rent or the
    purchase price. Lessors further maintained that because the option to purchase had to
    be exercised prior to the termination of the lease pursuant to the terms of the Lease -
    Option Agreement, the option to purchase was cancelled upon cancellation of the lease.
    Lessors' reconventional demand sought the unpaid lease payments and late fees; the
    expenses lessors incurred completing repairs to the property necessitated by lessee's
    failure to maintain the property; and damages lessors suffered as a result of their
    inability to sell the property due to the Notice of Lis Pendens and the instant suit.
    On September 26, 2018, lessors filed a motion for summary judgment. R. 1926.
    Lessors argued that lessee' s execution of the Cancellation terminated the lease and the
    option to purchase, and therefore lessee had forfeited the option money pursuant to
    the terms of the Lease -Option Agreement. Thus,        lessors sought summary judgment
    dismissing lessee' s suit, allowing lessors to retain the option money in the amount of
    25, 000, and awarding reasonable attorney's fees. R, 2 .    In support of their motion for
    summary judgment, lessors submitted the Lease -Option Agreement, the Cancellation,
    the affidavit of Mr. Robertson, and copies of the filing and cancellation of the notice of
    lis pendens.
    2
    On November 14, 2018, lessee filed a memorandum in opposition to lessors'
    motion for summary judgment. Lessee argued that the parties' differing interpretations
    of the Lease -Option Agreement demonstrated that the language of the Lease -Option
    Agreement was ambiguous, and that the ambiguities should therefore be construed
    against lessors as they furnished the Lease -Option Agreement. Lessee further asserted
    that summary judgment was precluded by questions of fact regarding the interpretation
    of the option to purchase, the validity of the Cancellation, the actions of the parties with
    respect to lessee' s attempt to purchase the property, and the issue of damages.
    41Lessee submitted her affidavit in support of her opposition to lessors' motion for
    summary judgment.
    On    December 3,      2018, 2 the trial court heard lessors' motion for summary
    judgment.       Following oral arguments, the trial court granted the motion in favor of
    defendants and dictated reasons to the court reporter. R. 21 63,, On May 2, 2019, the
    trial court executed a written judgment in conformity with its December 3, 2018 oral
    ruling.    R-.--,50.   From   this   judgment,   lessee   appeals.   Lessee raises the following
    assignments of error herein:
    1.   The trial court erred in finding no issue of material fact existed as to
    lessors' right to terminate the contract.
    2.   The trial court erred in failing to find that the contract must be
    interpreted in the light most favorable to lessee.
    3.   The trial court erred in finding no genuine issue of material fact,
    thereby granting summary judgment.
    SUMMARY JUDGMENT
    A motion for summary judgment shall be granted if the motion, memorandum,
    and supporting documents show that there is no genuine issue as to material fact and
    that the mover is entitled to judgment as a matter of law. LSA- C. C. P. art. 966( A)( 3). In
    determining whether summary judgment is                    appropriate,   appellate   courts   review
    evidence de novo under the same criteria that govern the trial court' s determination of
    whether summary judgment is appropriate. Riedel v. Fenasci, 2018- 0538 ( La. App. 1
    Cir. 12/ 28/ 18),      
    269 So. 3d 995
    , 999. In ruling on a motion for summary judgment, the
    2 The judgment indicates the hearing was December 3, 2017, which is undoubtedly a typographical error.
    E
    court's role is not to evaluate the weight of the evidence or to determine the truth of
    the matter but instead to determine whether there is a genuine issue of triable fact.
    Because the applicable substantive law determines materiality, whether a particular fact
    in dispute is material can be seen only in light of the substantive law applicable to the
    case.     Foto v. Rouse' s Enterprises, LLC, 2017- 1601 (               La. App. 1 Cir. 8/ 6/ 18), 
    256 So. 3d 386
    , 388.
    The burden of proof rests with the mover. Nevertheless, if the mover will not
    bear the burden of proof at trial on the issue that is before the court on the motion for
    summary judgment, the mover's burden on the motion does not require him to negate
    all essential elements of the adverse party' s claim, action, or defense, but rather to
    point out to the court the absence of factual support for one or more elements essential
    to the adverse party's claim, action, or defense. The burden is on the adverse party to
    produce factual support sufficient to establish the existence of a genuine issue of
    material fact or that the mover is not entitled to judgment as a matter of law. LSA-
    C. C. P. art. 966( D)( 1).
    Assignment of Error No. 2
    In her second assignment of error, lessee maintains that the Lease -Option
    Agreement, drafted by lessors, contained vague and ambiguous provisions that the trial
    court erroneously failed to construe in the light most favorable to lessee.                         Lessee
    contends that the lease and option to purchase3 provided for in the Lease -Option
    Agreement were separate and distinct, such that the cancellation of the lease did not
    cancel the option to purchase, and she was therefore timely in her attempt to exercise
    the option to purchase. In support of this position, lessee contends that the Lease -
    Option Agreement can be reasonably interpreted to contain two separate and distinct
    rights,   obtained through payment of two separate and distinct considerations,                       with
    separate terms: first, the right to lease, obtained by payment of $ 900. 00 per month for
    the term of the lease, from January 1, 2016 through December 31, 2017; and second,
    3 An option is a contract whereby the parties agree that the offeror is bound by his offer for a specified
    period of time and that the offeree may accept within that time. LSA- C. C. art. 1933. An option to buy is a
    contract whereby a party gives to another the right to accept an offer to buy a thing within a stipulated
    time. An option must set forth the thing and the price, and meet the formal requirements of the sale it
    contemplates. LSA- C. C. art. 2620.
    the right to purchase, obtained for $ 25, 000. 00 upon the execution of the Lease -Option
    Agreement, valid until November 1, 2017. Lessee further asserts that "[ n] owhere in the
    contract does it explicitly and unequivocally state that cancellation of the lease ends the
    time period granted to exercise the option to purchase." Thus, lessee argues that under
    the language of the Lease -Option Agreement as written, she reasonably believed that
    for the price of $ 25, 000,      she was purchasing a right with a specific time in which to
    exercise that right to purchase the property, regardless [ of] whether she was occupying
    the premises."
    The determination of whether a contract is clear or ambiguous is a question of
    law. Sims v. Mulhearn Funeral Home, Inc., 2007- 0054 ( La. 5/ 22/ 07), 956 SO -2d
    583, 590. When a contract can be construed from the four corners of the instrument
    without looking to extrinsic evidence,                the question of contractual                 interpretation          is
    answered as a matter of law, and summary judgment is appropriate. McCary v.
    Oceaneering Int' I,         Inc., 2017- 1163 ( La. App. 1 Cir. 2/ 27/ 18),                
    243 So. 3d 613
    , 616.
    When      the   words   of    a   contract      are    clear   and      explicit   and     lead    to   no    absurd
    consequences, no further interpretation may be made in search of the parties' intent.
    LSA- C. C. art. 2046. However, if a court determines as a matter of law that a contract is
    ambiguous, then extrinsic evidence may be used to determine the true intent of the
    parties, and determining the intent of the parties becomes, in part, a question of fact
    inappropriate for summary judgment.                   Carter v. BRMAP,                  
    591 So. 2d 1184
    ,       
    1188 La. App. 1
     Cir. 1991).
    As reflected above,          the Lease -Option Agreement plainly set forth the terms
    under which lessee would lease the property, as well as the terms under which lessee
    would have the option to purchase the property. In return for a payment of $ 25, 000
    made at the time the Lease -Option Agreement was executed, lessee received the right
    and option to purchase the property. Paragraph VII( a) of the Lease -Option Agreement
    specifically stated that the $ 25, 000 option money was " non- refundable in the event
    4 Lessee repeatedly argues in her appellate brief that Paragraph VII( b) of the Lease -Option Agreement
    allows   for the exercise    of the   option   to   purchase   until   November    1,    2017.   However,    this    is   a
    mischaracterization of that provision. As reflected above, the provision does not address the term of the
    option to purchase, but rather requires that lessors receive written communication of the exercise of the
    option to purchase on or before November 1, 2017.
    7
    lessee] [ did] not exercise the option to purchase at the termination of the lease."
    Paragraph VIII of the Lease -Option Agreement also explicitly provided that "[ i] f the
    lease is terminated voluntarily or involuntarily, then the option money is forfeited." This
    language unambiguously requires that the exercise of the option to purchase take place
    at or prior to the termination of the lease, and it distinctly provides that the option
    money is forfeited if the lease is terminated voluntarily or involuntarily. Thus, under the
    plain terms of the Lease -Option Agreement, the lease and the option to purchase were
    inseparable,    such that the termination of one necessarily terminated the other. See
    Smith Enterprises, Inc. v. Borne, 
    245 So. 2d 9
    ,          11 ( La.   App. 1 Cir. 1971),   writ
    refused,    
    258 La. 574
    , 
    247 So. 2d 393
     ( 1971) ("[ T] he lease and option to purchase,
    being part of the same agreement, are inseparable and... so long as the lease is in full
    force and effect, so must be the option").
    Having determined that the words of the Lease -Option Agreement are clear and
    explicit, we consider whether that language leads to absurd consequences. It is our
    conclusion that interpreting the Lease -Option Agreement in this manner does not lead
    to absurd consequences. To the contrary, interpreting the contract at issue in the
    manner proposed by lessee would lead to distinctly absurd consequences:              under
    lessee' s interpretation, lessee could terminate the lease and vacate the premises;
    lessors could then lease the home to a second tenant; and lessors' second tenant would
    be subject to eviction at any point should lessee later choose to exercise the option to
    purchase. This interpretation cannot stand. Thus,      having thoroughly considered the
    entirety of the Lease -Option Agreement, and finding that the language of the contract
    is clear,   explicit,   and leads to no absurd consequences,   we may make no further
    interpretation in search of the parties' intent. See LSA- C. C. art. 2046. This assignment
    of error lacks merit.
    Assignment of Error No. 1
    In her first assignment of error, lessee challenges the validity of the Cancellation
    on several grounds, including the proper interpretation of the contract formed by the
    Cancellation.    Lessee argues that the Cancellation itself is a confusing and misleading
    compromise, and therefore, the court should consider her affidavit as extrinsic evidence
    of     her    intent    and     understanding      when      she   executed    the   Cancellation.     Lessee
    emphasizes that the Cancellation states that the lease is cancelled,                          but does not
    explicitly refer to or address the option to purchase. 5 On this basis, lessee again reasons
    that the option to purchase survived the termination of the lease pursuant to the
    Cancellation.
    The Cancellation plainly provided that the lease was " terminated by mutual
    consent of the parties and they desire[ d] that the same be and is hereby cancelled."
    This language is clear and explicit, and leads to no absurd consequences. Thus, we
    must strictly interpret the Cancellation as written,                    and    cannot    consider    extrinsic
    evidence as urged by lessee. See Peterson v. Schimek, 98- 1712 ( La. 3/ 2/ 99),                            729
    So -2d 1024, 1031.
    Though the Cancellation does not specifically address the option to purchase, it
    expressly refers to the Lease -Option Agreement and identifies its location in the records
    of Tangipahoa Parish. As a signatory of the Lease -Option Agreement, lessee is charged
    with    knowledge of its contents.6 The Lease -Option Agreement makes clear that
    voluntary termination of the lease results in the forfeiture of the option money, such
    that the term of the option to purchase is inseparably linked to the term of the lease, as
    discussed above. Thus,             we find that the Cancellation unambiguously cancelled the
    lease, and with it, the option to purchase. We further note that this interpretation leads
    to no absurd consequences for the same reasons noted                               herein with    respect to
    interpretation         of    the   Lease -Option     Agreement.'       Lessee' s     arguments      that   the
    Cancellation is confusing and misleading lack merit.
    5 Lessee also points out that the Cancellation reflects a lease termination date of August 30, 2016, while
    the Lease -Option Agreement reflects a lease termination date of December 31, 2017, and argues that
    this creates confusion. We do not find that this creates any confusion. The termination date stated in the
    Cancellation is the same date the Cancellation was executed and recorded, and therefore is clearly
    intended to reflect the termination date as amended by the Cancellation.
    6 Louisiana courts have long held that a party may not avoid the provisions of a written contract he
    signed but failed to read or have explained to him. That is so because, "[ s] ignatures to obligations are
    not mere ornaments."        Peironnet v. Matador Res. Co., 2012- 2292 ( La. 6/ 28/ 13), 
    144 So. 3d 791
    , 811.
    We note lessee' s reliance on Paragraph IX of the lease, which provides in part "[ i] f this lease is
    terminated by its term or the lease is canceled by non- performance of an obligation..." Lessee argues that
    this indicates that the Lease -Option Agreement intended a distinction of some sort between the terms
    termination" and " cancellation."     However, as noted above, the Cancellation plainly states that " the lease
    has been terminated by mutual consent of the parties and they desire that the same be and is hereby
    cancelled."   Thus, even if the Lease -Option Agreement did intend some distinction between the terms
    termination" and " cancellation,"  we find that to be a distinction without a difference in light of the
    9
    Lessee also attacks the validity of the Cancellation by arguing that she lacked
    capacity to contract at the time the Cancellation was executed. Lessee relies entirely on
    her own affidavit to support this argument. In lessee's affidavit, she asserts that she
    suffers from fibromyalgia syndrome, which manifests itself in musculoskeletal pain,
    fatigue, and poor concentration.         Lessee states that she had a pending social security
    disability claim based on her fibromyalgia syndrome during the time she was unable to
    pay her rent.$ Lessee claims that that her diminished mental state left her vulnerable to
    being misled about the status of her compliance with the lease, and that lessors misled
    her into believing that she was in default of her lease and needed to enter into a
    voluntary cancellation. Lessee attests that had she known or understood her legal
    rights, she would not have signed the Cancellation. 9 K.,45-46.
    The presumption is that all persons have the capacity to contract. Florida v.
    Stokes, 2005- 2004 ( La. App. 1 Cir. 9/ 20/ 06), 
    944 So. 2d 598
    , 603. A contract made by a
    person without legal capacity is relatively null. LSA- C. C.            art.   1919. A noninterdicted
    person, who was deprived of reason at the time of contracting, may obtain rescission of
    an onerous contract upon the ground of incapacity only upon showing that the other
    party knew or should have known that person' s incapacity. LSA- C. C. art. 1925. Lack of
    capacity must be shown by clear and convincing evidence. Florida, 944 So. 2d at 603.
    Lessee was presumed to have capacity to contract. In order to obtain rescission
    of the Cancellation on the ground of incapacity, lessee would be required to not only
    prove her lack of capacity by clear and convincing evidence, but would also be required
    to prove that lessors knew or should have known of her lack of capacity. However,
    lessee' s affidavit does not state that the lessors knew or should have known of lessee' s
    Cancellation' s explicit statement that the lease was both terminated and cancelled by mutual consent of
    the parties.
    8 Lessee' s affidavit does not explicitly state that the social security disability claim was based on her
    diagnosis of fibromyalgia syndrome. However, this can be reasonably inferred from the affidavit, and
    lessee sets forth the connection between the social security claim and diagnosis in her appellate brief.
    See Willis v. Medders, 2000- 2507 ( La. 12/ 8/ 00), 
    775 So. 2d 1049
    , 1050.
    9 Lessee further claims that she learned that her social security disability claim, along with back due
    benefits, was granted the day after the execution of the cancelation. Lessee alleges that she informed
    lessors of her ability and desire to exercise the option to purchase on the same day, and that although
    she scheduled and notified lessors of the closing, lessors did not attend.
    10
    alleged diminished capacity. Therefore, the affidavit is insufficient to meet lessee's
    burden. This argument lacks merit. 10
    Lessee additionally argues that although the Lease -Option Agreement was signed
    by lessee and both lessors, the Cancellation was only signed by lessee and Mr.
    Robinson, raising a substantial question as to whether the Lease -Option Agreement was
    properly canceled. The concurrence of both spouses is required for the lease of
    community immovable property. LSA- C. C. art. 2347. An act entered into by a spouse
    without the concurrence of the other spouse when such concurrence is required by law
    is a relative nullity. LSA- C. C. art. 2353, 1979 Comment ( b). However, relative nullity
    may be invoked only by those persons for whose interest the ground for nullity was
    established, and may not be declared by the court on its own initiative. LSA- C. C. art.
    2031.     Mrs. Robinson is therefore the only party who could invoke the possible relative
    nullity of the Cancellation. Based on the record before us, she has not done so. This
    argument lacks merit.
    Assignment of Error No. 3
    In her third assignment of error, lessee argues that the trial court erred in finding
    no genuine issue of material fact existed to preclude summary judgment on the issues
    of damages and her attempt to exercise the option to purchase after the execution of
    the Cancellation. In support of this argument, lessee relies on discrepancies between
    her affidavit and Mr. Robertson' s affidavit regarding the events that followed lessors'
    acceptance of lessee' s " IOU' s" in lieu of cash rent payments and led to the execution of
    the Cancellation on August 30, 2016. 11 However, under the plain terms of the Lease -
    Option Agreement, the option to purchase was extinguished at the same time the lease
    was terminated upon execution of the Cancellation on August 30, 2016. Thus, the
    io We additionally note the inherent inconsistency in lessee' s request that we enforce one contract she
    entered   into — the   Lease -Option   Agreement — and   simultaneously nullify a second contract — the
    Cancellation.
    li In his affidavit, Mr. Robertson contends that lessee requested to be released from her obligations
    under the lease due to her inability to pay in late August of 2016. Lessee also advised lessors that she
    would be moving out of the property. Mr. Robertson states that he then met with lessee on August 30,
    2016, at her request, and executed the Cancellation. Mr. Robertson avers that lessee " said nothing about
    exercising the option" prior to the execution of the Cancellation, and that he did not receive notice that
    lessee wished to purchase the home until September 14 or 15, 2016. R, 2546.
    11
    disputed events following the Cancellation have no effect on the outcome of this
    matter. This assignment of error lacks merit.
    CONCLUSION
    For the foregoing reasons, we affirm the May 2, 2019 summary judgment that
    dismissed Dinah Fontanille' s action with prejudice. All costs of this appeal are cast to
    the appellant, Dinah Fontanille.
    REVERSED AND REMANDED.
    12
    DINAH FONTANILLE                                       NO. 2019 CA 1135
    VERSUS                                                 COURT OF APPEAL
    STEPHANIE REYNOLDS                                     FIRST CIRCUIT
    ROBERTSON, WIFE OF
    AND BYRON TODD ROBERTSON                               STATE OF LOUISIANA
    HOLDRIDGE, J., dissenting.
    I respectfully dissent from the majority opinion. There are genuine issues of
    material fact that need to be decided at trial, not on a motion for summary judgment.
    Whether the option to purchase was terminated when the lease was terminated is a
    factual issue which is still in question. The " Cancellation of Lease" document which
    was filed in the official records of Tangipahoa specifically provided that the lease
    was "
    was terminated by mutual consent of the parties and they desire that the same
    be and is hereby cancelled." The cancellation did not contain any language which
    addressed the option to purchase. Therefore, a question of material fact exists as to
    whether or not the option to purchase was terminated when the lease was terminated.
    Since neither the termination document nor any other document addresses the option
    to purchase, extrinsic evidence may be considered to determine the intent of the
    parties.   See Vekic v. Popich, 2017- 0698 ( La. 10/ 18/ 17), 
    236 So. 3d 526
    , 529- 30.
    Summary judgment is not appropriate when the trier of fact must determine the intent
    of the parties.   See Markovich v. Villere, 2017- 1739 ( La. App. 1 Cir. 2/ 28/ 19), 
    273 So.3d 333
    , 340, writ denied, 2019- 0500 ( La. 5/ 20/ 19), 
    271 So. 3d 201
    .    Moreover,
    the lessors drafted the termination agreement and the lease, and ambiguities are
    construed against the drafter. See La. C. C. art. 2056. In this case, it is the lessors'
    failure to include any language in the lease termination document that indicated that
    the parties also intended to terminate the option to purchase which has created the
    genuine issues of material fact. Also, Smith Enterprises, Inc. v. Borne, 
    245 So.2d 9
    , 11 ( La. App. 1 Cir. 1971), the case cited by the majority as support for its holding,
    did not involve a separate cancellation of the lease or a separate deposit as
    consideration for the option. In Smith, the rent was the consideration for the option.
    In this case, there was a separate consideration for the option and there is a separate
    cancellation ofthe lease document. The facts of this case are clearly distinguishable.
    As the material fact as to whether the option to purchase was terminated is still in
    dispute, summary judgment is not appropriate.
    

Document Info

Docket Number: 2019CA1135

Filed Date: 5/28/2020

Precedential Status: Precedential

Modified Date: 10/22/2024