Summary
The Louisiana First Circuit Court of Appeal reversed a summary judgment dismissing Coastal Bridge Company, L.L.C.'s breach-of-fiduciary-duty claim against Devon Overall and Coastal Contractors, Inc. The court held that genuine issues of material fact remained regarding the scope of Overall's employment and fiduciary obligations, his role in obtaining the Plaquemine Yard lease for Coastal Contractors, and the damages allegedly suffered by Coastal Bridge. The matter was remanded for further proceedings.
Topics
Practice areas
Questions Presented
- Whether the amended judgment was final and appealable.
- Whether defendants established an absence of factual support for the duty element of Coastal Bridge's breach-of-fiduciary-duty claim.
- Whether defendants established an absence of factual support for the damages element of that claim.
- Whether summary judgment was proper where the evidence presented genuine issues of material fact concerning Overall's employment obligations and the loss of the Plaquemine Yard lease.
Holdings
- The amended judgment was final and appealable because it expressly stated that the breach-of-fiduciary-duty claim was the sole remaining claim and that no claims remained.
- Defendants failed to show an absence of factual support for the duty element of Coastal Bridge's breach-of-fiduciary-duty claim.
- Defendants failed to show an absence of factual support for the damages element of Coastal Bridge's breach-of-fiduciary-duty claim.
- The court could not affirm summary judgment on the basis of the Consent and Release Agreement because defendants did not move for summary judgment on the waiver issue.
Key quotations
“Appellate courts review the granting of a summary judgment de novo using the same criteria governing the trial court's consideration of whether summary judgment is appropriate, i.e., whether there is any genuine issue of material fact and whether the mover is entitled to judgment as a matter of law.” (at 5)
“Thus, genuine issues of material fact remain regarding the scope of Overall's employment with Coastal Bridge in 2019 and his related obligations.” (at 10)
“This testimony, combined with Sills' confirmation that Coastal Bridge made $1.5 million in annual profits from the Plaquemine Yard lease, demonstrates the existence of a genuine issue of material fact as to whether and to what extent Coastal Bridge suffered damages as a result of Overall's alleged breach of fiduciary duty related to the Plaquemine Yard lease.” (at 11)
Factual background
Devon Overall was employed by Coastal Bridge from 2006 through 2019 and served as vice president of its Bridge Division from 2013 until December 2019. While still employed, Overall purchased Coastal Contractors, Inc. and began bidding on new projects for that company. Coastal Bridge alleged that Overall diverted business and caused Coastal Contractors to obtain a new lease for the Plaquemine Yard, which Coastal Bridge claimed was essential to its bridge operations and generated substantial profits.
Procedural history
Coastal Bridge sued Devon Overall and Coastal Contractors, Inc., alleging that Overall diverted business and appropriated the Plaquemine Yard lease for Coastal Contractors. The trial court separately sustained an exception of prescription as to the lease-conversion claim and later granted defendants' motion for summary judgment on the breach-of-fiduciary-duty claim. After an interim remand for clarification of the judgment's finality, the trial court entered an amended judgment stating that no claims remained. The court of appeal maintained the appeal, reversed the amended judgment, and remanded.
Remand instructions
Remanded to the trial court for further proceedings on Coastal Bridge's breach-of-fiduciary-duty claim.