Justia Consumer Law Opinion Summaries

Articles Posted in Louisiana Supreme Court
by
23rd Psalm Trucking, L.L.C. entered into a four-year contract with the Madison Parish Police Jury on July 14, 2014, to collect and dispose of residential waste. The contract was extended for an additional three years, set to expire on July 14, 2021. However, due to fiscal concerns, the Police Jury rebid the contract in June 2020 and awarded it to another contractor, effective January 1, 2021. Psalm Trucking sued for breach of contract and unfair trade practices, claiming an estimated loss of $385,235.50.The trial court granted summary judgment in favor of the Police Jury, finding the contract null and void under La. R.S. 39:1410.60 (A) because it was not approved by the State Bond Commission. The court also rejected Psalm Trucking’s detrimental reliance claim, noting the company did not seek legal advice before contracting. The Court of Appeal affirmed, agreeing that the Bond Commission’s approval was required for multi-year contracts without a non-appropriation clause.The Supreme Court of Louisiana reviewed the case and affirmed the lower courts' decisions. The court held that La. R.S. 33:4169.1 and La. R.S. 39:1410.60 must be read together, requiring Bond Commission approval for contracts that constitute debt. The court found the four-year contract constituted debt and was null and void without the Bond Commission’s approval. The court also agreed that Psalm Trucking failed to prove detrimental reliance against a governmental agency. The judgment of the Court of Appeal was affirmed. View "23rd Psalm Trucking, L.L.C. v. Madison Parish Police Jury" on Justia Law

by
Customers of an indoor trampoline park, of Sky Zone Lafayette, must complete a “Participant Agreement, Release and Assumption of Risk” document (“Agreement”) prior to entering the facility. The Agreement contains a clause waiving the participant’s right to trial and compelling arbitration. Plaintiff, James Duhon, was such a customer, and was injured in the course of participating in the park’s activities. After plaintiff filed suit seeking damages, Sky Zone moved to compel arbitration pursuant to the Agreement. The district court overruled Sky Zone’s exception, but the court of appeal reversed, finding the arbitration provision should be enforced. After review, the Supreme Court found that the arbitration clause in the Sky Zone agreement was adhesionary and therefore unenforceable. View "Duhon v. Activelaf, LLC" on Justia Law

by
Customers of an indoor trampoline park, of Sky Zone Lafayette, must complete a “Participant Agreement, Release and Assumption of Risk” document (“Agreement”) prior to entering the facility. The Agreement contains a clause waiving the participant’s right to trial and compelling arbitration. Plaintiff Theresa Alicea executed the Agreement prior to her husband, Roger Alicea, taking their minor sons to Sky Zone. The Aliceas’ son, Logan, was injured while jumping on a trampoline. The Aliceas filed suit against Sky Zone, individually and on behalf of Logan. Sky Zone moved to compel arbitration pursuant to the Agreement. The district court overruled Sky Zone’s exception and the court of appeal denied Sky Zone’s writ application. After review, the Supreme Court held the arbitration clause in the Sky Zone agreement was adhesionary and therefore unenforceable. Accordingly, the Court affirmed the rulings of the lower courts. View "Alicea v. Activelaf, LLC" on Justia Law