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800 Canal Street Ltd. Partnership v. Storyville District New Orleans, L.L.C.

Citation: 75 So. 3d 958Docket: Nos. 2010-CA-0942, 2010-CA-0943, 2010-CA-0944, 2010-CA-0979, 2010-CA-0980, 2010-CA-0981, 2010-CA-0982

Court: Louisiana Court of Appeal; September 21, 2011; Louisiana; State Appellate Court

Narrative Opinion Summary

The case involves a dispute between a sub-lessor, 800 Canal Street, and a sub-lessee, Storyville New Orleans District, LLC, regarding an eviction proceeding and alleged lease violations. The property in question, part of a historic department store, was sub-leased to Storyville, who then sub-leased it further. Following complaints of indecent entertainment at the premises, 800 Canal Street initiated eviction proceedings. The trial court denied the eviction but ordered the removal of a mechanical bull, citing it as a violation of the zoning ordinance and sub-lease terms. Both parties filed appeals concerning the eviction decision and attorney fees, with the court denying fees due to lack of proper notice and absence of adverse judgment. The trial court's decision was affirmed in part, specifically regarding the mechanical bull's removal, and reversed in part concerning zoning authority. The court also upheld the exception of lis pendens, finding the suits derived from the same transaction. The litigation was overseen by Pro Tem Judge James Williams and the cross motions for attorney fees were decided by Honorable Paulette Irons.

Legal Issues Addressed

Attorney Fees Under Lease Provisions

Application: The court denied both parties' motions for attorney fees, finding no entitlement for 800 Canal Street due to failure to provide proper notice, and no adverse judgment against 800 Canal Street that would entitle Storyville to fees.

Reasoning: In March 2010, both parties filed cross motions for attorney fees under the lease provisions, which the trial court denied.

Eviction Proceedings Under Lease Agreements

Application: The court denied the eviction petition filed by 800 Canal Street against Storyville, finding no breach of the sub-lease agreement regarding luxury quality and indecent entertainment restrictions.

Reasoning: The trial court ruled on February 25, 2010, denying 800 Canal Street’s eviction petition but ordered the removal of the mechanical bull from the premises.

Lease Agreement Violations and Cure Period

Application: Storyville was given a thirty-day period to rectify the violation related to the mechanical bull, which was removed within this timeframe, thus curing any potential defaults.

Reasoning: Even if there were violations, Section 11.01 allows for a thirty-day cure period for any alleged defaults, and the trial court found that Storyville had cured any potential violations.

Lis Pendens in Eviction and Property Disputes

Application: The court upheld 800 Canal Street’s exception of lis pendens, as both suits arose from the same transaction between the same parties.

Reasoning: Additionally, Storyville challenged the trial court's granting of 800 Canal Street's exception of lis pendens, which was upheld as both suits arose from the same transaction with the same parties.

Zoning Ordinance Violations and Judicial Authority

Application: The trial court exceeded its authority by ruling on a zoning violation regarding the mechanical bull, as no formal zoning proceedings had taken place.

Reasoning: In the case at hand, since no formal zoning proceedings took place, the trial court incorrectly ruled that a mechanical bull constituted a zoning violation and ordered its removal.