Jesco Const Corp v. NationsBank Corp, et al

1District Judge of the Eastern District of Louisiana, sitting
by designation.
UNITED STATES COURT OF APPEALS
For the Fifth Circuit
No. 00-31195
JESCO CONSTRUCTION CORPORATION,
Plaintiff - Appellee,
VERSUS
NATIONSBANK CORPORATION, ET AL.,
Defendants,
AMERICAN INTERNATIONAL SPECIALTY LINES
INSURANCE COMPANY; CONTINENTAL CASUALTY COMPANY;
UNDERWRITERS AT LLOYDS OF LONDON,
Defendants - Appellants
VERSUS
BANK OF AMERICA COMMERCIAL FINANCE CORPORATION,
formerly known as NationsCredit Commercial Corporation,
Cross Claimant - Appellant.
Appeals from the United States District Court
for the Eastern District of Louisiana
February 5, 2003
Before JONES, and DeMOSS, Circuit Judges, and FELDMAN1, District
Judge.
DeMOSS, Circuit Judge:

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2
The factual background of this case is adequately reviewed in
the predicate opinion of Jesco Construction Corporation v.
Nationsbank Corporation, 278 F.3d 444 (5th Cir. 2001). In that
previous opinion, this panel was faced with a unique question of
statutory construction involving La.Rev.Stat. 6:1122.
Specifically, this Court was faced with whether or not the
Louisiana Credit Agreement Statute precludes all actions for
damages arising from oral credit agreements, regardless of the
legal theory of recovery. Jesco, 278 F.3d at 448. Finding that
such a question was perfectly suited for certification to the state
supreme court, we requested that the Louisiana Supreme Court
certify the question. Id. The Louisiana Supreme Court granted
certification and subsequently concluded that the Louisiana Credit
Agreement Statute does indeed preclude all actions for damages
arising from oral credit agreements, regardless of the legal theory
of recovery. Jesco Constr. Corp. v. Nationsbank Corp., 830 So. 2d
989, 992 (La. 10/25/02).
With the question now answered, this Court’s path is clear.
The district court granted only partial summary judgment to the
defendants in this case under the mistaken belief that only Jesco’s
breach-of-contract claims were barred by the Louisiana Credit
Agreement Statute. In light of the Louisiana Supreme Court’s
ruling that the Louisiana Credit Agreement statute precludes all
actions arising from credit agreements, we find that the district

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court’s “Erie guess” was wrong and that the defendants were
entitled to summary judgment on all of Jesco’s claims. We
therefore AFFIRM that part of the district court’s order granting
summary judgment to the defendants on the breach-of-contract claim
and REVERSE that part of the district court’s order denying summary
judgment on the remaining claims against the defendants and REMAND
the case back to the district court to enter judgment consistent
with this Court’s order.
AFFIRMED IN PART AND REVERSED AND REMANDED IN PART.

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