Court Reinstates Contractor’s Construction Lien Following Improper Discharge by Trial Court
This case arises from a dispute between a homeowner and contractor and addresses how Florida’s lien discharge statute found in 713.21, Florida Statutes, applies when a contractor files suit to foreclose a lien and a homeowner responds with a claim under 713.21, Florida Statutes.
Court Allows Contractor’s Unjust Enrichment Claim to Proceed After Expiration of Lien
This case arises from a dispute between a restoration contractor and a condominium association. After the contractor’s construction lien expired, it filed suit to recover payment. The association challenged the payment claim, arguing that expiration of the lien also extinguished the payment claim and won. On appeal, the contractor sought reversal based on a specific provision of Florida’s construction lien law.
Court Reverses $85,000.00 Attorneys’ Fee Award in Construction Lien Case After Applying Significant Issues Test Despite Award to Contractor
This case from Florida’s Second District Court of Appeal arises from a dispute over hours charged by a staffing company and a related charge of less than $3,000.00. After having its fraudulent lien claim dismissed during trial, the property owner appealed, having that ruling reversed, only to have the trial court’s ruling in favor of the staffing company on its good-faith-dispute defense save the staffing company. The appellate court also found that the trial court applied the wrong test in awarding attorneys’ fees and reversed an award of $85,000.00 in attorneys’ fees to the staffing company.
Court Refuses to Increase Lien Transfer Deposit Amount in Unconsolidated Cases
Florida’s Third District Court of Appeal recently declined to reverse a trial court’s refusal to increase the amount a construction lien transfer deposit and the trial court’s related discharge of a lis pendens. The decision seems to rest, at least in part, on the fact that the lien foreclosure action and related breach of contract claims were progressing in two separate, unconsolidated cases.
Two 4th Circuit Orders Grant Summary Judgment Finding that General Contractors Have Non-Delegable Duty to Ensure Construction Complies with Florida Building Code
The orders found that, as a matter of law, the two general contractors in those cases had a duty to supervise, direct, manage, and control the work to ensure compliance with the Florida Building Code, and that such duty could not be delegated to subcontractors or other parties working on the project. The impact of the decisions appears to limit the relevant general contractors’ ability to require liability to be apportioned between various subcontractors.