Opinion
No. 2006-C-0047.
May 5, 2006.
In re Barnhill, Donna; Barnhill, Barbara A.; Barrosse, Alan M.; Barrosse, Grace M.; Ridgel, Guy W.; Cortese, Gerard J. Sr.; Dargis, George D.; Dargis, Niki A. Sr.; Eisenmann, Fred; Barnhill, Kenneth et al.; Barnhill, William H.; McGee, Kerry; Ridgel, Edith B.; Eisenmann, Linda, et al.; — Plaintiff(s); Applying for Writ of Certiorari and/or Review, Parish of Orleans, Civil District Court Div. N, Nos. 02-19305; to the Court of Appeal, Fourth Circuit, No. 2004-CA-0725.
Writ granted. The judgments of the district court and court of appeal are reversed. Their rulings granting the exception of no cause of action filed by the defendant are incorrect. Plaintiffs' petition adequately asserts a cause of action. In their petition, plaintiffs assert that defendants Cedar Bayou and Kenneth Carter led them to believe that their right of first refusal was being preserved and remained in full force and effect, thus, indicating that the defendants assumed in the credit sale and assignment of leases, the vendor's obligation including the lessor/vendor's extension of a right of first refusal. Further, once an exception of no cause of action is granted, the plaintiff should be afforded an opportunity to amend the pleadings within the delays allowed by the court. See La. Code C. Pro. art. 934. This case is remanded to the district court for further proceedings.
JOHNSON, J., recused.
CALOGERO, C.J., additionally concurs and assigns reasons.
I participated in the majority's disposition of the above case, being of the view that it was error on the part of the two lower courts to grant the defendants' exception of no cause of action. I venture to add in this concurring opinion a couple of brief comments, which may be helpful to the parties and the trial court in connection with the trial of this case.
I believe that it was the majority's view, and it certainly is my own, that there were at least two problems with disposing of this case by the lower courts' granting the exception of no cause of action. First, the plaintiffs adequately requested in their petition that the court apply the equitable remedy of judicial control of leases, where in certain circumstances the courts are vested with discretion to decline to grant a lessor's cancellation of a lease although such right appears to be available to the lessor. Second, without a merits trial, it is not evident that the plaintiffs could not establish a cause of action, notwithstanding the absence of recordation of their leases, because the plaintiffs may in fact be able to prove, as they have asserted, that the defendant Cedar Bayou assumed the obligation of Remington Oil to the plaintiff tenants, including a right of first refusal.
With respect to one or the other theories of recovery urged, or such as the plaintiffs may yet assert in supplemental pleadings, I believe that the plaintiffs should have the opportunity to prove the facts that they assert regarding the assumption by Cedar Bayou of lessor Remington Oil's lease obligations to the tenants and/or have the trial judge determine whether the tenants are entitled to equitable relief under the doctrine of judicial control of leases. See Canco, Inc. v. Outdoor Systems Advertising, 96-0559 (La.App. 4 Cir. 1996), 681 So.2d 33; Motwani v. Fun Centers, Inc., 388 So.2d 1173 (La.App. 4 Cir. 1980); Carriere v. Bank of Louisiana, 95-3058 (La. 12/13/96), 702 So.2d 648, 654.