A case decided yesterday by Florida’s First District Court of Appeal imposed a $71,444 judgment on a fence company for failing to complete a project under the terms of the original contract and then the terms of an agreed understanding between the parties on the completion date.
Read moreCourt Reverses $28,190.00 Judgement Against Flooring Company Owner Over Improper Corporate Veil Piercing
Yesterday a Florida court reversed a judgment entered against the owner of a flooring company individually because even though he had commingled personal and business funds, he had not engaged in conduct that warranted setting aside the company and imposing liability on him personally.
Read moreProposed Florida Statute Would Change Notice to Contract and Notice of Non-Payment Requirements for Public Works Contracts
Proposed House Bill 345, in addition to make sweeping changes to Florida’s Construction Lien law, would also make changes to portions of Chapter 255 and 337, Florida Statutes, which govern public projects and construction or maintenance contracts, and Chapter 95, Florida Statutes, which sets forth the statutes of limitations for lawsuits in Florida.
Read moreProposed Statute Would Make Significant Changes to Florida's Construction Lien Law
Florida House Bill 345, would make changes to 16 different sections of Part I, Chapter 713, Florida Statutes, including alterations of the definitions of contractor and final furnishing, changes to who is required to be listed on a notice of commencement, and changes to the statute governing service of notices to owner, liens, and other documents.
Read moreProposed Florida Statute Would Eliminate 10-Year Bar on Construction Defect Claims and Impose New Pre-Suit Requirements for Defect Claims
Proposed Florida Senate Bill 736 would eliminate the 10-year statute of repose for latent construction defects and make significant changes to Chapter 558, Florida Statutes, including awarding attorneys’ fees for rejecting settlement offers and requiring courts to appoint construction experts to inspect defects.
Read moreFlorida Legislature Again Considering Removing Licensing Requirement for Certain Supervised Pool Construction
Under proposed House Bill 267, unlicensed contractors would be allowed to perform the work of a commercial or residential pool/spa contractor, or a swimming pool/spa servicing contractor, so long as he or she is supervised by a contractor holding one of those licenses. A similar statute proposed last year did not make it out of the Community Affairs Committee.
Read moreProposed Florida Statute Would Eliminate Notice of Commencement Requirement for Certain HVAC Jobs Under $15,000.00
Proposed Florida Senate Bill 352 would remove the requirement for a notice of commencement to be recorded on HVAC contracts directly with homeowners that total less than $15,000.00. The current statute eliminates the need for a notice of commencement on direct HVAC contract of less than $7,500.00.
Read moreFlorida Court Reinstates $4.8M Lien for Tenant Improvements on Public Property
A case decided last week illustrates the scope of liens for tenant improvements and recognizes that contractors can have liens for tenant improvements even where the land where the improvements are made is owned by a county or city.
Read moreCourt Determines Subcontractor Not Entitled to Retainage or Change Orders Due to Failure to Follow Contract and Act Within Deadlines
A recent court decision involving a public construction project for the Miami-Dade County School District confirms that change orders must conform to the terms of the contract to be enforceable and that the deadline to bring claims relating to a public project is one year from completion.
Read moreNew Court Decision Requires Clerks to Record Liens When Document and Fees Received, Not When They Get To it Later.
Yesterday, Florida’s First District Court of Appeal affirmed a trial court ruling requiring a clerk to backdate the recording date of a construction lien to the date it was received and the recording costs paid, not the date the clerk actually got around to recording the lien. This decision will have a huge impact on recording liens in Florida and may help some contractors who have timely delivered liens to the clerk of court, only to have them still be recorded late.
Read moreRecent Court Decision Describes Additional Way Contractors Can Appeal Penalties from DBPR
A recent court decision describes how a licensed contractor in Florida can have a punishment imposed without a hearing by the DBPR reversed and re-examined, particularly where the contractor challenges whether he or she received proper notice. The opinion also describes the steps required to establish proper service by the DBPR on a contract.
Read moreFlorida Appellate Court Affirms $174,377.38 Construction Lien Claim In Favor of Interior Designer
Earlier this year, Florida’s Third District Court of Appeal affirmed a final judgment in favor of an interior designer who served as an owner’s representative and oversaw renovations at the owner’s condominium while he was out of the country. The appellate decision, and underlying trial court order, do a good job of showing how designers can distinguish themselves from contractors for the purpose of complying with licensing and construction lien laws.
Read moreRecent Court Decision Confirms Measure of Damages in Construction Cases and Awards Homeowner $40,850 Over Failure to Pull Proper Permits
Last week Florida’s Fourth District Court of Appeal issued an opinion the described and confirmed the ways breach of contract damages can be calculated in construction disputes and allowed termination of a contract for failure to pull proper permits. This case serves as a good reminder to do things the right way and has some great discussion of the type of information contractors should expect to provide in court over a payment dispute.
Read moreNew Statute Phases Out Local Licenses by 2023
A new statute that went into effect on July 1, 2021, eliminates nearly all local contractor licenses by 2023 and makes clear that only certain types of contractors are required to have licenses. The new statute is intended to reduce government regulation of certain non-structural types of contractors and opens the door to many trades being able to work without a license in Florida.
Read moreFederal Judge Stops Enforcement of Certain Part of New Senate Bill 76 Temporarily
You may have heard that over the weekend, a federal judge in Tampa issued an injunction halting the enforcement of the recently enacted SB 76, which penalizes certain conduct on construction projects, especially roofing projects, where insurance proceeds will be paid. While this is true, the ruling is relatively narrow, and so I wanted to share the specifics, because certain portions of the statute are still in effect.
Read moreRevisions to Florida's Prompt Payment Law Increase Penalties for Homeowners and Contractors who Withhold Undisputedly Owed Funds
Since 1988, Section 713.346, Florida Statutes, has provided relief for contractors or subcontractors who have been unpaid for more than 30 days where there is no legitimate dispute that the funds are owed. But effective July 1, 2021, the penalties for failing to timely make undisputed payments increased significantly, making the failure the “misapplication of construction funds,” and subjecting the guilty party to civil and criminal penalties. Click to learn more about this new statute.
Read moreNew Statute Limits Liability for Engineers and Architects Voluntarily Participating in Emergency Response Activities
Earlier this week, Governor DeSantis signed into law a statute that provides a full limitation of liability for any licensed engineer or architect providing engineering or architectural services in response to an emergency and at the direction of a government emergency management agency. This statute also applies to out of state engineers or architects who are rendering help as part of a mobile support unit from that state.
Read moreHappy to Have Been Quoted by Redfin.com on the Importance of Obtaining Permits When Remodeling
Redfin.com recently posted an article on 7 DIY Home Repair Mistakes to Avoid Before Selling Your House, and I was fortunate enough to be quoted when describing why sellers should always pull permits for pre-sale improvements.
Read moreNew Statute Will Dramatically Impact Roofing Contractors and Contractors That Receive Insurance Proceeds
The new statute, Florida Senate Bill 76, was passed by the Florida legislature in its most recent session and is expected to be signed into law by Governor Desantis, with an effective date of July 1, 2021. The statute adds new requirements and contract disclosures for roofing contractors and greatly limits the way all contractors who work with homeowner insurance companies can market themselves and obtain work.
Read moreBlockchain: Automating Construction Contract Performance and Legal Notifications
In my most recent article for Construction Executive I discuss what blockchain is and explore how it can (and likely will) be used in the future to automate the performance and administration of construction contracts and how it could be used to automate legal notices. The possibilities are endless!
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