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Sunset Realty, Inc. v. Culp

Citations: 184 So. 3d 256; 2016 La. App. LEXIS 27; 2016 WL 154826Docket: Nos. 50,363-CA, 50,364-CA

Court: Louisiana Court of Appeal; January 12, 2016; Louisiana; State Appellate Court

Narrative Opinion Summary

In this case, Sunset Realty, Inc. appealed a judgment from the 4th Judicial District Court in Ouachita Parish, Louisiana, which had granted summary judgment in favor of defendant Larry Culp. The dispute centered around an alleged oral agreement between Sunset Realty and Culp regarding the construction and sale of residences on specific lots. Sunset Realty argued that Culp agreed to build and purchase the homes, while they financed the construction. However, the court found that any such agreement, involving the sale of immovable property, required a written contract under La. C.C. art. 2440, which was not present in this case. Moreover, Sunset Realty's attempt to claim damages for alleged overcharges was unsupported by evidence, particularly as French Acadian Homes, LLC, which funded the construction, was not a party to the lawsuit and its assignment of claims to Sunset Realty was unclear. The trial court's decision to grant summary judgment was based on the lack of a genuine issue of material fact, and this was affirmed on appeal, with costs assigned to Sunset Realty. The court also denied a rehearing, maintaining that recent amendments to the relevant code articles did not alter the substantive requirements for contract enforceability.

Legal Issues Addressed

Assignment of Rights and Claims

Application: Sunset Realty's claim of overcharges was undermined by its failure to prove that French Acadian Homes, LLC had properly assigned its claims against Culp.

Reasoning: Sunset Realty claims that construction costs were paid by another entity, French Acadian Homes, LLC, which assigned its claims against Culp to Sunset Realty.

Enforceability of Oral Contracts for Sale of Immovable Property

Application: The court reiterated that any contract involving the sale of immovable property must be in writing to be enforceable, rejecting Sunset Realty's claims based on an alleged oral agreement.

Reasoning: Culp contends that any agreements regarding immovable property must be in writing under La. C.C. art. 2440, which requires sales or promises of sale of immovable property to be documented through an authentic act or private signature.

Requirement for Specific Evidence to Oppose Summary Judgment

Application: The court found that Sunset Realty did not meet its burden to show specific facts indicating a genuine issue for trial regarding the alleged contract or overcharges.

Reasoning: An adverse party must provide specific facts through affidavits or appropriate evidence to demonstrate a genuine issue for trial, as stated in La. C.C.P. art. 967(B).

Standard for Granting Summary Judgment

Application: Summary judgment was granted in favor of Culp as Sunset Realty failed to provide evidence creating a genuine issue of material fact regarding the alleged oral agreement.

Reasoning: The summary judgment standard indicates that such a motion can be granted if there is no genuine issue of material fact, allowing the mover to establish entitlement to judgment as a matter of law.