Filing Motion to Increase Lien Transfer Bond (Before Trial Court Loses Jurisdiction Over Final Judgment)
May 15, 2023 —
David Adelstein - Florida Construction Legal UpdatesIf a construction lien is recorded against real property, the lien can be transferred to a lien transfer bond. This transfers the security or collateral of the construction lien from the real property to the lien transfer bond. The lien transfer bond can be a bond posted by a surety company or it can be cash. This is governed by Florida Statute s. 713.24. The amount of the lien does not dictate the amount of the lien transfer bond. Rather, the lien transfer bond needs to be in the amount of the lien, plus interest on that amount for three years, plus $1,000 or 25% of the amount of the lien (whichever is greater so factor in the 25%) to cover attorney’s fees. Fla. Stat. 713.24(1).
If you are looking to transfer a construction lien to a lien transfer bond, make sure to consult with counsel.
Keep in mind there is a statutory mechanism for a lienor to increase the lien transfer bond to cover attorney’s fees and costs and notice the word “must” in the statute below. Pursuant to Florida Statute s. 713.24(3):
Any party having an interest in such security or the property from which the lien was transferred may at any time, and any number of times, file a complaint in chancery in the circuit court of the county where such security is deposited, or file a motion in a pending action to enforce a lien, for an order to require additional security, reduction of security, change or substitution of sureties, payment of discharge thereof, or any other matter affecting said security. If the court finds that the amount of the deposit or bond in excess of the amount claimed in the claim of lien is insufficient to pay the lienor’s attorney’s fees and court costs incurred in the action to enforce the lien, the court must increase the amount of the cash deposit or lien transfer bond. Nothing in this section shall be construed to vest exclusive jurisdiction in the circuit courts over transfer bond claims for nonpayment of an amount within the monetary jurisdiction of the county courts.
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David Adelstein, Kirwin Norris, P.A.Mr. Adelstein may be contacted at
dma@kirwinnorris.com
Haight Welcomes New Attorneys to Los Angeles, Sacramento and San Francisco
October 07, 2019 —
Haight Brown & BonesteelHaight Brown & Bonesteel is happy to announce the addition of new attorneys to our Los Angeles, Sacramento and San Francisco offices.
- Alexandra Angel – Los Angeles: Alexandra is a member of the firm’s Business Solutions, General Liability and Transportation Law Practice Groups. Her practice focuses on a variety of civil litigation matters involving premises liability, personal injury, judgment collection, breach of contract, and landlord-tenant. Her clients have included individual private clients, international property management companies, national and local real estate investment companies, a large car finance company, and local businesses.
- Josh Maltzer – San Francisco: Josh is a partner in the firm’s Construction Law, General Liability and Risk Management & Insurance Law Practice Groups. He is a seasoned civil litigator who focuses his practice on construction defect, general liability and insurance coverage. Josh is an experienced trial attorney who has litigated matters in state and federal courts throughout California and in Arizona, Washington and Wyoming. He has represented business owners, property managers, developers, real estate purchasers and public housing agencies in matters that resulted in millions of dollars in insurance recovers, judgments and settlements for his client.
Reprinted courtesy of Haight Brown & Bonesteel attorneys
Alexandra Angel,
Josh A. Maltzer,
Philip E. McDermott,
Patrick F. McIntyre,
Evan M. Reese, and
Amanda F. Riley
Ms. Angel may be contacted at aangel@hbblaw.com
Mr. Maltzer may be contacted at jmaltzer@hbblaw.com
Mr. McDermott may be contacted at pmcdermott@hbblaw.com
Mr. McIntyre may be contacted at pmcintyre@hbblaw.com
Mr. Reese may be contacted at ereese@hbblaw.com
Ms. Riley may be contacted at ariley@hbblaw.com
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Florida Construction Defect Decision Part of Lengthy Evolution
August 05, 2013 —
CDJ STAFFLawyers are still working out all the implications of Florida Supreme Court’s ruling in Maronda Homes. Three members of the firm Lowndes, Drosdick, Doster, Kantor & Reed PA, Alexander Dobrev, Michael S. Provenzale, and Tara L. Tedrow on the firm’s web site. They characterize it as a “consumer-protection oriented decision,” quoting the court that the “house is the fondest dream and largest investment, both emotionally and financially, for Florida families.”
The court found that Section 553.835 of the Florida laws could not be applied to construction that occurred before the statute become effective in July, 2012. They describe the underlying issue as “the culmination of forty years of evolution to the implied warranty of habitability that is granted by the builder of a new home to the purchaser.” This lead to a 2010 District Court decision that expanded the area covered from “merely the structure itself, along with improvements ‘immediately supporting the residence’” but also those “which provide ‘essential services’ which support the home, make it habitable, or are necessary for living accommodations.”
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Insurer Must Defend Construction Defect Claims
October 07, 2016 —
Tred R. Eyerly – Insurance Law HawaiiThe federal district court found that under New York law, the insurer had a duty to defend construction defect claims where damage to property other than the insured's work product was possible. Am.Home Assur. Co. v. Allan Window Techs., 2016 U.S. Dist. LEXIS 101118 (S.D. N. Y. Aug 2, 2016).
Kent Avenue Property ("Kent") sued Allan Window Technologies, Ltd. ("Allan"), alleging that Allan entered a written contract for the design, manufacture, assembly and installation of the window wall systems for a residential condominium building. Pursuant to the contract, Allan agreed to correct all work rejected as defective and to bear all costs for correcting the work. According to the complaint, the window wall systems and vent windows installed by Allan were not water-tight or air-tight, and therefore did not meet the air and water penetration requirements of the contract.The contract had an indemnification provision under which Allan agreed to indemnify, defend and hold harmless Kent from all losses, claims, lawsuits, etc. arising out of damage or injury to property at the project site. Kent sued for: (1) breach of contract; (2) breach of warranty, and (3) contractual indemnity.
American Home agreed to defend Allan under a full reservation of rights. American Home then sued for a declaratory judgment to establish it had no duty to defend or indemnify.
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Tred R. Eyerly, Insurance Law HawaiiMr. Eyerly may be contacted at
te@hawaiilawyer.com
CAUTION: Terms of CCP Section 998 Offers to Compromise Must Be Fully Contained in the Offer Itself
May 12, 2016 —
Jesse M. Sullivan & R. Bryan Martin – Haight Brown & Bonesteel LLPIn Sanford v. Rasnick, (Ct. of Appeal, 1st App. Dist., No. A145704) the First Appellate District addressed whether a CCP § 998 Offer to Compromise requiring plaintiff to execute a release and enter into a separate settlement agreement was valid. Because the settlement agreement could potentially contain additional terms not stated in the CCP 998 Offer, the Court of Appeal held that it was not.
Plaintiff alleged he was injured when the 17-year-old Defendant ran a stop sign and struck his motorcycle. Plaintiff sued the 17-year-old and his father (the owner of the vehicle) for vehicular negligence and general negligence.
Just after discovery closed, defendants jointly served a CCP § 998 Offer to Compromise to plaintiff in the amount of $130,000. The offer contained a condition requiring that in order to accept, plaintiff must provide a “notarized execution and transmittal of a written settlement agreement and general release. Each party will bear its own fees, costs and expenses.”
Mr. Sullivan may be contacted at jsullivan@hbblaw.com
Mr. Martin may be contacted at bmartin@hbblaw.com
Reprinted courtesy of
Jesse M. Sullivan, Haight Brown & Bonesteel LLP and
R. Bryan Martin, Haight Brown & Bonesteel LLP
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Daniel Ferhat Receives Two Awards for Service to the Legal Community
July 19, 2021 —
Daniel Ferhat - White and Williams LLPPartner Daniel Ferhat was recently recognized by The Philadelphia Association of Defense Counsel (PADC) with the President’s Award at PADC’s Annual Meeting. This award was given in recognition of Dan’s leadership as President of PADC over the past year. Recognized as the oldest continuously operating local defense organization in the United States, PADC is comprised of over 300 attorneys and acts as a voice for its members and the clients they serve on emerging issues of interest.
Dan also received the Exceptional Performance Award from the Defense Research Institute (DRI), which is the largest international membership organization of attorneys defending the interests of businesses and individuals in civil litigation. DRI’s Exceptional Performance Award is given annually to an individual who has supported and improved the standards and education of the defense bar, and for having contributed to the improvement of the administration of justice in the public interest.
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Daniel Ferhat, White and Williams LLPMr. Ferhat may be contacted at
ferhatd@whiteandwilliams.com
At Least 23 Dead as Tornadoes, Severe Storms Ravage South
March 18, 2019 —
The Associated Press (Kim Chandler) - BloombergBeauregard, Ala. (AP) -- A tornado roared into southeast Alabama and killed at least 23 people and injured several others Sunday, part of a severe storm system that caused catastrophic damage and unleashed other tornadoes around the Southeast.
"Unfortunately our toll, as far as fatalities, does stand at 23 at the current time," Lee County Sheriff Jay Jones told WRBL-TV of the death toll. He added that two people were in intensive care.
Drones flying overheard equipped with heat-seeking devices had scanned the area for survivors but the dangerous conditions halted the search late Sunday, Jones said. "The devastation is incredible," he said. An intense ground search would resume Monday morning.
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Bloomberg
Improper Classification Under Davis Bacon Can Be Costly
April 01, 2015 —
Craig Martin – Construction Contractor AdvisorThe Department of Labor announced late last year that it had recovered nearly $2 million in back wages and fringe benefits from a subcontractor that provided constructions services at the federally funded Crescent Dunes Solar Energy Project in the Nevada desert. This was not a failure to pay Davis Bacon wages, but a failure to properly classify laborers on the project. The DOL determined that the laborers should have been paid as skilled trade steelworkers, not general laborers. As the subcontractor found out, this proved very costly.
The subcontractor submitted its bid, classifying its laborers as general laborers and designating their wage at $30.00. The laborers were to assemble billboard sized mirrors on the project. There is some indication that the Department of Energy agreed with the classification, even though the Department of Labor has the final say on classifications. The Department of Labor’s investigation revealed that the laborers routinely performed duties in skilled trades, such as ironworking, electrical work, painting or bridge crane operation. Based on these activities, the Department of Labor concluded that the laborers should have been paid $60.00 per hour plus fringe benefits.
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Craig Martin, Lamson, Dugan and Murray, LLPMr. Martin may be contacted at
cmartin@ldmlaw.com
