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Bourgeois, Dupuis, Wright & Cohen v. Hayes

Citation: 457 So. 2d 231Docket: 83-838

Court: Louisiana Court of Appeal; October 10, 1984; Louisiana; State Appellate Court

Narrative Opinion Summary

In this case, the plaintiffs-appellants initiated legal proceedings against the defendants-appellees, claiming breach of a sublease agreement related to office space. The plaintiffs sought to enforce acceleration of sublease terms due to the defendants' non-payment of rent, while the defendants countered with claims that the plaintiffs had breached the sublease by disallowing necessary alterations to the premises. The plaintiffs amended their complaint to potentially cancel the original lease according to the defendants' defense. The trial court ruled in favor of the defendants, and the plaintiffs appealed the decision. The court examined whether the agreement constituted a sublease or an assignment, ultimately confirming it was a sublease as the original lessee retained certain rights. The plaintiffs were found to have breached the sublease by failing to secure necessary permissions for alterations, which were reasonably requested by the defendants to facilitate a subsequent sublease. The court found that the plaintiffs had neglected their duty to obtain consent for alterations from the original lessor, leading to a justified termination of the lease by the defendants under Articles 2729 and 2692 of the LSA-Civil Code. The appellate court upheld the trial court’s decision, dismissing the plaintiffs' suit and imposing costs of appeal on them.

Legal Issues Addressed

Breach of Sublease Agreement

Application: The court found that the plaintiffs breached the sublease agreement by refusing to consent to alterations requested by the defendants, which were necessary for further subleasing.

Reasoning: The trial court ruled that the plaintiffs breached the contract by refusing to permit alterations, resulting in the dismissal of the suit.

Obligations under a Sublease

Application: The plaintiffs failed to fulfill their obligation to verify and secure consent from the original lessor for alterations as stipulated in the sublease agreement.

Reasoning: The plaintiffs had a duty to verify whether 315's consent could be obtained before agreeing to the alterations clause, which they neglected.

Sublease versus Assignment

Application: The court determined that the instrument in question was a sublease and not an assignment, as the original lessee retained some rights and the lease interest would revert to the plaintiffs.

Reasoning: Upon review, the court confirmed the instrument was a sublease, not an assignment, noting that in a sublease, the original lessee retains some rights, whereas an assignment transfers all rights.

Termination of Lease Under Civil Code

Application: Under Articles 2729 and 2692 of the LSA-Civil Code, the defendants were entitled to terminate the lease due to the plaintiffs' breach of the sublease terms.

Reasoning: The court concluded that the plaintiffs breached the sublease by denying alteration requests, allowing the defendants to terminate the lease.