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LOUISIANA RECORD

Thursday, September 19, 2024

Plaintiff Alleges Landlord Negligence Over Water Damage And Mold Contamination

State Court
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A protracted legal battle over water damage and mold contamination in leased apartments has culminated in a decisive court ruling. The plaintiff, Benjamin Crosby, filed a complaint against Sahuque Realty Company, Inc., in the Civil District Court of Orleans Parish on October 26, 2009. Crosby alleges that Sahuque Realty failed to maintain the property adequately, leading to significant damages.

The case revolves around three apartments leased by Crosby from Sahuque Realty at 708 Orleans Avenue in New Orleans' French Quarter. Crosby, an interior designer and founder of Bentex Associates, Inc., used two of the apartments as his second home and the third as a showroom for his business. The leases included clauses waiving Sahuque's liability for any damages unless caused by their failure to comply with specific obligations.

Crosby claims that despite repeated notifications, Sahuque did not make necessary repairs to prevent water intrusion. This negligence allegedly led to mold infestation, causing health issues for Crosby and damaging his personal property. The original petition sought compensation for personal injuries, medical expenses, and property damage due to mold contamination.

Sahuque disputed these claims, arguing that the damages resulted from separate weather-related incidents rather than continuous negligence. They filed an exception of prescription (a legal argument that the claim was time-barred), which was initially granted but later reversed on appeal. Subsequent appeals have focused on various aspects of the case, including whether genuine issues of material fact existed regarding causation of damages.

In November 2016, Sahuque filed a reconventional demand seeking indemnity from Crosby based on an indemnity clause in the lease agreements. This clause required Crosby to cover all expenses incurred by Sahuque in defending against claims arising from injury or damage occurring on the leased premises. In August 2022, the trial court granted summary judgment in favor of Sahuque on this reconventional demand.

Crosby appealed this decision and a subsequent judgment awarding attorneys' fees and costs to Sahuque totaling $225,640.50 in fees and $11,527.77 in costs. He argued that there was insufficient evidence to support these awards and claimed he was denied the opportunity to cross-examine Sahuque's attorney regarding these fees.

However, both judgments were affirmed upon review. The appellate court found no merit in Crosby's arguments about ambiguity in the indemnity clause or procedural errors during hearings on attorneys' fees and costs. The court concluded that Crosby had agreed to indemnify Sahuque for all litigation-related expenses when he signed the lease agreements.

The case highlights critical aspects of contract law and landlord-tenant disputes involving maintenance obligations and liability waivers.

Representing himself pro se is Benjamin F. Crosby while Lance B. Williams and Briana E. Whetstone from McCranie Sistrunk Anzelmo Hardy McDaniel & Welch LLC represent Sahuque Realty Company Inc., with Judge Monique E Barial presiding over Division D of Civil District Court for Orleans Parish under Case ID No: 2009-11421 C\W 2010-06486.

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