The latest in a series of decisions by the 11th Circuit Court of Appeals confirms an insurers duty to defend contractors against complaints of defective work and damages during construction. The three appeals, stretching from 2019 through 2024, provide a lot of insight into the importance of the allegations of the complaint, how coverage can be affected by them, and the breadth of the duty to defend even where coverage may be questionable.
Read moreCourt Affirms Extinguishment of $1.8 Million Construction Lien Over Failure to Timely Add Surety to Lawsuit
The contractor amended its construction lien, which was then transferred to a bond and contested by the property owner after the start of litigation. When the contractor failed to add the bond’s surety to the lawsuit within 60 days, the property owner sought summary judgment and obtained an order finding the lien was extinguished based on the operation of two sections of Florida’s Construction Lien law.
Read moreCourt Finds Construction Company President Potentially Liable for Injuries to Worker Who Fell Off Roof
Florida’s Third District Court of Appeal reversed summary judgment entered in favor of the construction company’s president, finding that fact issues remained about whether the president ordered the company’s employee to place a tarp on a roof without also providing appropriate safety equipment.
Read moreCourt Reverses Dismissal of Two Claims by General Contractor Against Subcontractor Finding They Were Not Barred by Credit Agreement Between the Parties
Florida’s Fourth District Court of Appeal partially reversed a dismissal with prejudice of all of a general contractor’s claims against a subcontractor, finding that the credit agreement between the parties did not preclude claims for breach of an implied in fact contract or negligence. The case is an important reminder that not only do the terms of contracts matter, but so do when they are signed, who signs them, and how they are referred to in pleadings.
Read moreCourt Affirms Order Imposing Sanctions Against Electrical Contractor for Aiding Unlicensed Contractor
The final order imposed fines and continuing education against the electrical contractor, and possibly could have been avoided if the contractor had properly responded to the administrative complaint or properly preserved his rights to a final hearing. The case is a cautionary tale to contractors facing licensing complaints to take them seriously and comply with deadlines and instructions relating to the complaint.
Read moreCourt Affirms Judgment in Favor of Subcontractor Over Failing Golf Pond Liner
The court affirmed judgment in favor of the subcontractor against a general contractor after a lawsuit arose over unpaid invoices for a liner installed as part of a golf course renovation. The case is a good reminder to all those in the construction industry of the time and expense of litigation, and the finality of judgments even in disputed cases.
Read moreAppellate Court Affirms Dismissal of Roofer's Lawsuit Based on Non-Compliant Assignment of Benefits
Florida’s Second District Court of Appeal affirmed dismissal of a lawsuit brought by a roofing contractor against an insurance carrier on behalf of an insured, finding that the assignment of benefits contract between the contractor and insured did not strictly comply with the requirements of section 627.7152, Florida Statutes.
Read moreCourt Discharges Lien Where Subcontractor Fails to Timely File Suit to Foreclose
The general contractor filed a lawsuit pursuant to 713.21, Florida Statutes, to discharge two construction liens recorded by a subcontractor. When the subcontractor filed a motion for extension of time to respond to the complaint, as opposed to a lawsuit to foreclose, the court discharged the construction liens.
Read moreCourt Reverses Judgment in Favor of Contractor, Holding That Judgment Against Subcontractor for Similar Claimed Damages Does Not Preclude Suit Against Contractor
The lawsuit arose over claims of defective work asserted against a general contractor and its HVAC subcontractor. After a default judgment was entered against the HVAC subcontractor, and paid by the HVAC subcontractor, the general contractor attempted to have judgment summarily entered in its favor. Though successful at the trial level, the judgment was reversed on appeal by Florida’s Sixth District Court of Appeal.
Read moreCourt Enters Order Finding Claims of Deficient Townhome Construction Were Timely Under Statute of Repose
Florida’s 9th Judicial Circuit recently ruled on competing motions for partial summary judgment, determining that a homeowner’s association’s claims for deficient construction of 104 townhomes were not barred by Florida’s statute of repose, and applying the date of the issuance of the last certificate of occupancy for the project and final payment due date to reach that conclusion.
Read moreFlorida Court Reverses Deceptive and Unfair Trade Practices Act Award Against Roofer
The appellate court determined that because the homeowner was not able to prove they suffered any actual damages as a result of the claimed deceptive or unfair trade practice, the trial court should not have allowed the jury to award damages on the homeowner’s FDUPTA claim.
Read moreDBPR Enacts Two Emergency Orders Impacting Contractors as a Result of Hurricane Idalia
One extends the August 31, 2023 deadline to renew contractor licenses and complete continuing education to October 2, 2023, and the other expands the types of contractor licenses that can perform roofing work in 47 counties affected by Hurricane Idalia. NOTE, there is no suspension of contractor licensing requirements in general, and out of state contractors wanting to do work in Florida must be properly licensed to perform work in Florida, even under these DBPR emergency orders.
Read moreCourt Affirms Enforcement of Unwritten Agreement between Owner and Subcontractor for Extra Work Despite Express Contract with General Contractor
The subcontractor had obtained a $7,119.00 judgment in its favor for extra work it claimed to have been implicitly requested by the property owner, which was outside the scope of the subcontractor’s contract with the general contractor on the project.
Read moreContractor's Lawsuit Dismissed for Failing to Provide Contractor's Payment Affidavit Prior to Filing Suit
The contract between the parties required that the contractor provide the final payment affidavit described in 713.06, Florida Statutes, before final payment was due. This case illustrates the importance of complying with contractual requirements pre-suit, and the consequences they can have, including increased litigation costs.
Read moreCourt Refuses to Enforce Lien Where It Was Not Clear That Person Entering Into Contract was Agent of Property Owner
The contract at issue was entered into between the son of the property owner and a contractor, and the court ultimately refused to enforce a lien against the property owner due to conflicting evidence about whether the son was actually acting as an agent of the property owner for the purposes of the contract.
Read moreTwo 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.
Read moreGovernor Signs Bill Extending Local Licensing to 2024; Adding New State License Categories
The new law goes into effect July 1, 2024, and (1) keeps local licensing in place through July 1, 2024, (2) clarifies when permits can be required, (3) and requires the creation of 12 new state specialty contracting licenses.
Read moreMany Changes to Florida's Construction Lien Law Take Effect October 1, 2023.
Earlier this week, Florida’s Governor signed House Bill 331, which included many changes to Chapter 713, Florida Statutes, better known as Florida’s Construction Lien Law. The changes include new definitions, clarification of time period calculations, changes to notices of commencement and notices of termination, and changes to lien transfer bond calculations. A new section of the statute is also created, and another section is also repealed. All people in the construction industry need to be up to date on the new statutory provisions.
Read moreNew Statute Makes Many Changes to Notice of Nonpayment and Notice of Contest of Nonpayment Requirements for Public Projects
The new statutes, which go into effect October 1, 2023, contain multiple changes to 255.05 Florida Statutes, and 337.18 Florida Statutes, both of which apply to public construction projects. Most of the changes relate to notices of non-payment, notices of contest, bonds, and attorneys’ fees.
Read moreNew Law Prevents Fire Safety Official from Requiring Changes to Plans Without Specific Code Section Requiring Change
The new statute requires local fire officials to identify specific code violations when rejecting permits, and prohibits them from requiring substantive changes to plans after a permit is issued without providing a specific code section violation described in writing. The failure to do this would subject the relevant, local fire official to state discipline.
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