Florida Construction Law

FRSA Credit Union Launches New Members’ Only Benefit The FRSA Credit Union Board of Directors approved a new member’s only benefit to assist contractors in helping consumers finance a new roof or repair job. And the best part is that you, the contractor, don’t have to be involved in the process. All you need to do is give the consumer the contact information for the Credit Union and they do all the work! You do need to be a member of the Credit Union (you can open an account for $7), there are no fees to you, and the Credit Union will work with your customer to arrange financing. Rates vary and are based on the customer’s credit score. To become a member of the Credit Union, you may set up a personal account or a business account (download form you wish to use). Or you can contact Marissa or Adrienne at 877-657-7212 or visit their website at www.frsacu.org .  (from FRSA Roof Flash).  

Beginning July 1, 2012 , applications for exemption from workers’ compensation insurance can be made on-line at myfloridacfo.com/wc . Such applications will no longer have to be notarized; while applicants will be required to provide Florida driver’s license number or Florida identification card and date of birth, copies of ownership documents will no longer be required. However, for construction business, the law regarding exemptions continues to allow up to three (3) individuals to be exempt at the same time, provided that each one owns at least 10% of the business. (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

Vila & Son Landscaping Corporation v. Posen Construction, Inc., 37 Fla. L. Weekly D2228c, Case No. 2D10-5582, filed September 19, 2012. Construction contract was between Posen Construction and Florida Department of Transportation, which approved contractor’s subcontract for landscaping containing a “termination for convenience” provision. Contractor terminated subcontract based on obtaining a lower price, and subcontractor sued for breach based on such basis constituting “bad faith. Jury awarded damages to subcontractor for lost profits, which contractor moved to set aside notwithstanding the verdict as to both liability and damages. The trial court ordered a new trial, which neither party requested and both parties opposed. The trial court’s order for a new trial was reversed, and the case remanded for entry of a judgment in favor of contractor, based on a finding that the contract was rightfully terminated since contractor did not act in bad faith by exercising this contract r

Continental Casualty Company v. A. W. Baylor Versapanel Plastering, Inc., 37 Fla. L. Weekly D2167a, Case No. 5D11-3523, filed on September 7, 2012. Arbitration panel declined to award attorney’s fees pursuant to section 713.29, finding that neither party to an action to enforce a private payment bond action. Trial court awarded fees to successful subcontractor claimant under sections 627.756 and 627.428, which apply generally to actions against insurance and bonding companies. On appeal, this order was reversed and the court concluded that the more specific statute, section 713.29, applied.  Pre-arbitration, the parties had agreed that the determination of entitlement and amount of attorney fees was governed by section 713.29, Fla. Stat.  (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

Lennar Homes, LLC, et. al, v. Knauf GIPS KG, Case No. 09-07901 CA 42 (Eleventh Judicial Circuit, Miami-Dade County), order filed on August 31, 2012. Circuit Judge Farina entered an Order denying drywall manufacturer’s Motion to Vacate Entry of Default and to Dismiss Complaint based on damages for use of “Chinese drywall,” and found sufficient facts of an agency relationship between manufacturer and distributor to support the application of Florida’s “long-arm” statute, without violating “due process.”  (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