Florida Construction Law

In Bruce Tansey Custom Carpentry, Inc. v. Goodman , 33 So.3d 70 (Fla. 2d DCA 2010), the Court held that the person signing a fraudulent lien could not be held individually liable.  The Court also noted that only one punitive damages award was proper where a contractor filed both a claim of lien and amended claim of 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

In Sam Rodgers Properties, Inc. v. Chmura , 2011 WL 1565446 (Fla. 2d DCA 2011), a home builder sued the purchaser for breach of contract and lien foreclosure.  The Court issued several useful holdings.  First, the fact that there was no meeting of the minds with regard to extra work performed does not invalidate the original executed contract.  Second, additional work performed by the home builder to secure the property which included finishing the roof system acted to extend the “last day of work” for purposes of calculating the 90 days to record the claim of lien.  Third, the home builder could not include amounts spent on insurance or property taxes for the constructed property in its claim of lien.  However, the inclusion of those amounts did not render the lien invalid. Finally, the Court held that the filing of an erroneous amended claim of lien did not render the initial claim of lien unenforceable. Trenton H. Cotney Board Certified in Constr...

The Court in Southern Pan Services Co. v. S.B. Ballard Construction Co ., 2009 WL 1885113 (M.D. Fla. 2009) held that the use of the "advice of counsel" defense to fraudulent liens does not act to globally waive the attorney-client privilege.  However, the Court noted that when advice of counsel is used as a formal defense, attorney-client privileged would be waived with regard to communications pertaining to the preparation of the claim of 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

In Zupnick Haverland, LLC v. Current Builders of Florida, Inc. , 2009 WL 605394, the Court held that a "good faith dispute as to the amount due does not constitute a willful exaggeration that operates to defeat an otherwise valid lien."   The Court further articulated that this type of good faith dispute does not convert a lien to a fraudulent lien. Trenton H. Cotney Florida Bar Certified in Construction Law Glenn Rasmussen Fogarty & Hooker, P.A. 100 S. Ashley Dr., Suite 1300 Tampa, FL 33602 (813) 229-3333 http://www.glennrasmussen.com

In Palm Developments, Inc. v. Ridgdill & Sons, Inc ., 2009 WL 513027 (M.D. Fla. 2009), the Court held that an owner could pursue an action under Section 713.31, Florida Statutes for a fraudulent lien even if the lien had been released.  Damages under a fraudlent lien theory may include punitive damages. 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