Florida Construction Law

In SureTec Insurance Co. v. National Concrete Structures, Inc., Case No. 12-cv-60051 (S.D. Fla. July 3, 2012) the surety paid losses and expenses and sued the principal and  individual indemnitors on account of those losses. One of the individual indemnitors  filed a counterclaim for damages and rescission based on alleged violation of the federal  Equal Credit Opportunity Act (“ECOA”). The surety moved to dismiss the counterclaim. The court held that “neither the payment and performance bonds issued by  SureTec nor the Indemnity Agreement constitute a credit transaction within the meaning  of the ECOA, because no defendant obtained any right to defer the payment of a debt.”   The court therefore dismissed the indemnitor’s ECOA counterclaim with prejudice. (from RPPTL Subcommittee). Trenton H. Cotney Florida Bar Certified Construction Lawyer Trent Cotney, P.A. 1211 N Franklin St Tampa, FL 33602 (813) 579-3278 www.trentcotney.com

KA Properties, LLC v. USA Construction, Inc ., 35 So.3d 1015 (Fla. 5 th DCA 2010) holds that failure to file a lien foreclosure counterclaim in response to an order to show cause proceeding within the twenty-day time period will result in the discharge of the lien. Trenton H. Cotney Board Certified in Construction Law Trent Cotney, P.A. 1207 N Franklin St, Ste 222 Tampa, FL 33602 (813) 579-3278 www.trentcotney.com

Section 713.21(4), Fla. Stat. requires that you counterclaim for foreclosure of your claim of lien on or before 20 days after receipt of a summons on an order to show cause proceeding.  Failure to file the counterclaim in that time frame results in the loss of your lien rights.  Unnerstall v. Designerick, Inc., 2009 WL 2971869 (Fla. 2d DCA 2009).   Trenton H. Cotney Board Certified in Construction Law Trent Cotney, P.A. 1207 N Franklin St, Ste 222 Tampa, FL 33602 (813) 579-3278 www.trentcotney.com