The unclean hands doctrine is an equitable defense to a breach of contract claim. 3:17cv146J32JRK, 2017 WL 1552034, *1 (M.D. First District: Lanigan v. Lanigan, 353 So.3d 1188, 1190 (Fla. 4th DCA Jan. 1, 2023);Board of County Commissioners, Santa Rosa County v. Home Builders Association of West Florida, Inc., 325 So.3d 981, 984 (Fla. 1st DCA 2021); Green v. Alachua Cty., 323 So.3d 246, 249 (Fla. 1st DCA 2021);DeSantis v. Fla. Educ. Plaintiff bears the burden of establishing there is a clear legal right to the ultimate relief sought and a substantial likelihood of success on the merits. Breach of Implied in Fact Contract, Breach: 06. Miami, FL 33133, 2221 Camino del Rio South Copyright 2023 AboutFloridaLaw.com. Florida law is constantlychanging. Email: Dadelstein@gmail.com, Phone: (954) 361-4720 Email: Dadelstein@gmail.com. [oItA;{Ok1uM*y1icS|: v h Contact our Seminole office today at 727-471-0444 to schedule an initial consultation. Davis v. Joyner, 409 So. Closing never occurred and the buyer sued the seller for specific performance to force the seller to close on the sale of the land. Williamson v. Williamson, 367 So.2d 1016, 1018 (Fla. 1979)( [H]e who seeks equity must stand before the court with clean hands and he who seeks equity must do equity.);PNC Bank, Natl Assn v. Smith, 225 So.3d 294, 295 (Fla. 5th DCA 2017). This field is for validation purposes and should be left unchanged. They cannot seek it if enforcing the agreement would be unjust, unfair, or inequitable. 3d 1202, 1213 (Fla. 1st DCA 2020). There are three types of claims that a laches defense usually apply to: specific performance, contract rescission, and contract reformation. Rare Breed Triggers, LLC v. Big Daddy Enterprises, Inc., Tesoro Property Owners Assn v. Tesoro Commons, LLC, 237 So.3d 403, 404 (Fla. 4th DCA 2018), Naegele Outdoor Advertising Co., Inc. v. City of Jacksonville, FHR TB, LLC v. TB Isle Resort, LP., 865 F.Supp.2d 1172, 1192(S.D. For buyers, maybe market prices changed and what was once a great bargain is now a bad deal. We disagree. Most defenses to a breach of contract claim are referred to as "affirmative defenses." As a legal matter, this means that the party raising the defense (the person sued for breach of contract) has the burden of proving the defense, if the dispute goes to trial. 2d 488, 492 (Fla. 2d DCA 1964)(explaining why the same general rules apply to injunctions against the breach of a contract that apply to specific performance)(citations omitted); Grant v. U.S., 289 F. Supp. See, e.g., Pronman v. Styles, No. monetary damages), then that trial court judge will be reversed on appeal unless specific performance is an express remedy granted in the purchase contract. Most real estate lawyers, like Larry Tolchinsky, offer a free initial consultation (over the phone or in person, whichever you prefer) to answer your questions. However, Florida law does allow a seller of real estate to file a lawsuit against a buyer, who refuses to close, seeking specific performance. In Florida, the statute of limitations for breach of contract claims is: 5 years for written contracts; 4 years for oral contracts; 1 year for specific performance of a contract (requiring a party to perform a specific action per an existing contract) With the Parent-Child Relationship, Unfair Competition Trade Name, Service Mark and Trade Mark Infringement, Wrongful Interference with Testamentary Expectancy, Plaintiff has a substantial likelihood of success on the merits; and. 2d 500, 501 (Fla. 4th DCA 1996). San Diego, CA 92108, 101 NE Third Avenue Second District:Freeman as Trustee of Fiddlesticks Land Trust U/A/D September 25, 1984 v. Berrin, 352 So. has represented buyers and sellers in various specific performance matters concerning all types of real estate throughout Florida. What is Laches? | LegalMatch Castigliano v. O'Connor, 911 So.2d 145, 148 (Fla. 3d DCA 2005) (internal citations omitted). Both are governed by the same doctrines and rules). 13 In any event, Florida courts have held that the pendency of a lawsuit seeking specific performance of property makes the title to the property unmarketable 14 and the threat of In addition, Florida law excuses performance of a contract, if performance is either impossible or the contract purpose has become commercially frustrated.5 For either of these defenses to apply, the performance must be more than difficult or burdensome.6 Further, these defenses will not apply if the impossibility or frustration of purpose was However, specific performance will only be available if the contract terms are unambiguous, include the obligations of the parties, the time for performance under the contract, the method of performance, and the legal description of the subject property involved. (7) Injunctive relief is not available where the injury to the movant is seeking to prevent is purely monetary or when the right to the injunction is premised on a speculative, future event. Lutsky v. Schoenwetter, 172 So.3d 534 (Fla. 3d DCA 2015)(emphasis added)(citations omitted). We are in the Tampa Bay area of Florida and can serve clients throughout the state, nationwide, and even abroad. Laches is considered an equitable defense which means that the defendant can only raise a laches defense if the plaintiff is seeking an equitable remedy. It also covers procedural and equitable defenses specific to breach of contract. Specific Performance - Florida Litigation Guide For Florida purposes, specific performance pursues the specific enforcement of transferring ownership of the subject property as contracted for in the underlying sales contract. Id. Holdings, Inc. v. Guirguis, 318 So.3d 1274, 1277 (Fla. 2d DCA 2021);Jackman v. Cebrink-Swartz, 334 So.3d 653, 656 (Fla. 2d DCA 2021); Phelan v. Trifactor Sols., LLC, 312 So. In some situations, the harmed party asks for and receives a court order that forces the other side to go through with the deal, or to specifically perform under the terms of the real estate agreement. Mora v. Karr, 697 So.2d 887 (Fla. 4th DCA 1997). Specific performance is an equitable remedy that, under Florida law, is effectively the same as, and synonymous with, injunctive relief. Brendan A. Sweeney, Esq., is an AV Preeminent Martindale Rated Attorney, that has been recognized as a Florida Super Lawyer in 2019, Florida Legal Elite in 2019, and as a Florida Super Lawyer Rising Star in 2018, 2017, 2016, 2015, and 2014. 5:18-CV-267-TKW/MJF, 2021 WL 260244, at *2 (N.D. Fla. Jan. 5, 2021). With a Dead Body, Tortious Interference: 4. through this website does not create an attorney-client relationship, and any information I send is not protected by attorney-client privilege. 19-62687-CIV, 2021 WL 2682561, at *3 (S.D. You are asking the court to require the other party to specifically perform an affirmative obligation. Remedies arefactually consistentwhen they logically can coexist on the same facts. Remedies arefactually inconsistentwhen one remedy implies negation of the underlying facts necessary for the other., When remedies are factually consistent, the mere election or choice to pursue one of such remedies does not operate as a waiver of the right to pursue the other remedies. Where remedies are factually consistent, only a full satisfaction of the right asserted will estop the plaintiff from pursuing her other consistent remedies.. Second, the appellate court quickly rejected the property owners cunning effort to cancel the original purchase and sale contract only to enter into a new agreement at a higher price. Officers Union Natl Exec. This is because that party also committed a breach of contract. For Florida purposes, specific performance pursues the specific enforcement of transferring ownership of the subject property as contracted for in the underlying sales contract. The property owner refused to honor the right of first refusal and entered into a purchase and sale contract to sell the property to another buyer. The term specific performance originated in English law, as courts back in England were divided into courts of equity and courts of law. Fla. 2021). 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Under Florida law, forcing that buyer to perform can only be done by a court if there is no other adequate remedy at law. If the judge tries to order specific performance and the buyer can establish that other remedies were available (i.e. If a plaintiff could double recover on mutually exclusive theories of liability based on inconsistent facts, then plaintiffs would recover double than what they are rightfully entitled to. Except that Tom Jones Enterprises wanted that land. When a real estate deal blows up in Florida, its usually because one side or the other has made a business decision that the agreement is no longer in their best interests to perform, and they would rather not sell the land or buy the property. Nonetheless, when the buyer secured the approvals to develop the land, it notified the seller that it wants to close on the land. Specific performance requires you to show that monetary damages are inadequate to compensate your claim. We strongly prefer to not close on the contract. That isnt fair! 1.610(b) (emphasis added). A decree of specific performance is an equitable remedy granted at the discretion of a trial court. v. Pearson, 42 Fla. L. Weekly D2277d (Fla. 4th DCA 2017) (internal citations omitted). Fla 2011), Mora v. Karr, 697 So.2d 887 (Fla. 4th DCA 1997), Williams v. Victim Justice, P.C., 198 So.3d 822, 826 (Fla. 2d DCA 2016), Florida High School Activities Assn v. Mander, Forrest v. Citi Residential Lending, Inc., 73 So.3d 269, 279 (Fla. 2d DCA 2011), * Fla. R. Civ. When there is a breach of contract, the non-breaching party typically sues for monetary damages. In order to obtain specific performance in New York, the non-breaching party must prove four elements: (1) there is a valid and enforceable contract between the parties; (2) the non-breaching party is "ready, willing, and able" to perform their obligations under that contract; (3) the breaching party can perform the contract but has failed . P. 2 Defenses to Claim for Temporary Injunction (1) Fla. R. Civ. Castigliano v. OConnor, 911 So.2d 145, 148 (Fla. 3d DCA 2005) (internal citations omitted). "Florida courts do not limit the defense to specific categories of facts. Wanting the terms of the contract fulfilled rather than payment for harm is not unreasonable, since you entered the contract for a reason in the first place. 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Toll Free: 727-471-0444. - The would-be beneficiary experiences losses (usually . When Can You Sue For Breach of Contract in Florida? 1. To Force the Sale or To Cloud the Title. By submitting this form I acknowledge that contacting the Law Office of Clifford J. You know what happened. An affirmative defense does not contest the primary claims or facts (for example . See, e.g., Northwestern Nat. Florida Specific Performance in Real Estate Agreements. - The would-be beneficiary relies on and takes certain actions based on the promise. 2d 561, 563 (Fla. 3d DCA 1976) (same); Professional Golfers Assn of America v. Bankers Life & Cas. You can follow David Adelstein on Twitter @DavidAdelstein1. The property owner and buyer could not negate this irrevocable option by simply terminating the purchase and sale contract only to enter a new agreement. 3d 183, 186 (Fla. 2009). The plaintiff sued the property owner for breach of contract for monetary damages and for specific performance (to force the property owner to sell the property to it based on its right of first refusal and prevent the sale to the buyer). (17) Injunctive relief is a remedy and not an independent stand alone cause of action. Middle District:Oppenheimer & Co. v. Majani, 2023 WL 2403884, *2 (M.D. However, litigating a demand for specific performance is not only expensive in terms of time and money for all parties, but it also carries with it all sorts of indirect costs as well: the land cannot be sold, the earnest money deposit is frozen, until the case is finally determined. For sellers, suing for specific performance can mean tying up the buyers funds which can be pressure on a business to rethink its earlier position. 18th Floor Mar. 12 C.F.R. Specific performance requires the breaching party to fulfill their obligations as laid out in the contract, such as delivering a good/item or rendering the agreed upon payment. 20222023 Romano Law LLP in California (16) A party may move to dissolve or modify a temporary injunction at any time and such a motion must be heard within five days of application. The trial court entered a final judgment ordering specific performance of the contract; the church appealed that decision. There was no evidence to support that either of the principals made a binding commitment (or any commitment, for that matter) to give or lend the money to the buyer to close on the land. The Eleventh Circuit was not going to disregard corporate formalities of setting up a limited liability company for purposes of insulating liability simply because the principals of the two members of the limited liability company independently had money to close. Specific performance is a form of remedy recognized in every state, as well as under federal law; however there are nuances in how specific performance must be asked for and proven, as well as when it will be legally awarded, which depends on specific state statutes and case law. (4) there is no other adequate remedy at law. Defenses to a Breach of Contract Claim | Nolo Statute of limitations bars Plaintiff's claim (s). It can be quite complex, and its important you reach out to a knowledgeable and experienced Florida business and corporate attorney who can help. It is not a matter of right to either party. Contracts, Compliance, and Coronavirus - Defenses to - Bradley If a claim is filed after the statute of limitations has passed, that claim will be barred. 4th Floor, Coral Gables If the buyer breaches the contract by walking away, the seller can sue for specific performance by asking the court to compel the transfer of the subject property to the buyer. This Q&A covers defenses to contract formation, performance, and damages. Avery v. Marine Bank & Trust Co., 216 So.2d 251 (Fla. 2d DCA 1968). In May 1978, a Lutheran church here in Florida decided to sell some land to a corporation named Tom Jones Enterprises. Before a trial court can apply the election of remedies doctrine, it must determine whether the remedies are factually consistent. The Case of Our Savior Lutheran Church v. Tom Jones Enterprises, Inc. Heres an example of specific performance litigation in action here in Florida. However, courts are not always keen on using their power to compel someone to do something. See Proctor v. Eason, 651 So. endstream endobj startxref ), Equitable Relief: One seeking Equity MUST do Equity, Exculpatory Clauses will be Strictly Construed to Determine Enforceability, Do Yourself a Favor: Get a Court Reporter at that Impactful Hearing, Real Estate Brokers are NOT Immune from Liability, Res Judicata and 4 Requirements that Must be Demonstrated, Writ of Prohibition to Prevent Trial Court from Exceeding Jurisdiction, Directed Verdict Granted where No View of Evidence Could Support Jury Verdict, Petition for Writ of Mandamus Directing Trial Court to Take Action, Considerations: Independent Tort Doctrine and Claim Known as Equitable Accounting, Waiver is a Voluntary Relinquishment of a Known Right that Must be Proven with a Clear Showing, Dismissal Without Prejudice does NOT Trigger Attorneys Fees under Proposal for Settlements, Bert Harris Act and Competing Motions for Summary Judgment, Plaintiff MUST Confer Direct Benefit on Defendant to Prove Unjust Enrichment, You Cannot Intentionally Render Moot a Plaintiffs Lawsuit, Apparent Authority of Agent to Bind Principal, Serving the Civil Remedy Notice (CRN) to Perfect a First-Party Bad Faith Insurance Claim, Breach of Express Contract is Exception to Sovereign Immunity, Moving for and Challenging a Protective Order under the Apex Doctrine, Purchase-and-Sale Contract: Your Right to Modify Them, Premise Liability and Duty Owed to Business Invitees, Recovering Attorneys Fees in Litigating the Amount of Attorneys Fees, Business Interruption due to COVID-19 NOT Covered under Commercial Property Insurance Policy, Foreseeability and the Duty Element of a Negligence Claim, Post-Judgment Receiver Appointed to Collect on Behalf of Judgment Creditor, Reminder: Not Every Breach is a Material Breach of Contract, Adding a Non-Party Fabre Defendant to the Verdict Form, 3-Step Process for Objections to Trade Secrets, Attorneys Fees to Prevailing Party Under FDUTPA Claim are PERMISSIVE, Contractually Disclaiming a Fraud Claim (Possible, but not Easy to do), Floridas Single Publication Rule (and Defamation Claims), Reasonable Time to Accept Settlement Offer (is a Question of Fact), Contingency Fee Multiplier Must Establish the Relevant Market Factor, Business Judgment Rule Designed to Shield Directors from Personal Liability, Ambiguity in Insurance Policy Interpreted in Favor of Insured, Pure Bill of Discovery NOT for Purposes of Fishing Expedition, Partition Action does Not Result in Money Damages Against a Party, Consider Prevailing Party Attorneys Fees before Voluntarily Dismissing Case, Confession of Judgment does Not Start the Clock to File Motion for Attorneys Fees, Quick Note: Motion for Protective Order Reviewed Under Abuse of Discretion Standard of Review, There are NO Magic Buzz Words to Effectuate an Assignment, Presuit Appraisal Requirement under Bert J. Harris Act, Determining whether Lis Pendens Against Property is Appropriate Fair Nexus, Recovering Attorneys Fees Incurred on Partys Behalf, To Pierce Corporate Veil, there Needs to be Sufficient Findings of Improper Conduct, Timely Moving for Trial De Novo after Non-Binding Arbitration Award, Attorneys Fees do Not have to be Quantified in Proposal for Settlement, A Bad Deal does NOT Make It an Unlawful Deal, Dismissal of Complaint (Action under Floridas Public Whistleblower Act) for Failure to State Cause of Action, Duty Element of Negligence Did Defendants Conduct Foreseeably Create Broader Zone of Risk, Trier of Fact Determines Weight of the Evidence, Oops! WAIVER OF SPECIFC PERFORMANCE REMEDY - Law Insider 2d 500, 501 (Fla. 4th DCA 1996). (13) A plaintiff with unclean hands may not obtain an injunction. Though not entirely impossible. Florida's Statute of Frauds- Performance of Non-Written/Oral Contracts 2d 1301, 1301 (Fla. 2d DCA 1995). Even without force . 2017 - 2023 Sweeney Law, P.A. 2021)(elements of injunction pending appeal); In re Gateway Radiology Consultants, P.A., 983 F.3d 1239, 1254 (11th Cir. All of this makes the specific performance remedy difficult to enforce when the agreement to sell real estate is an oral contract. Today, all those have merged, and the court can make a decision on whether to issue a monetary judgment or issue equitable relief. What Is 'Specific Performance' as a Legal Remedy? - Findlaw Though, this remedy is only available to the buyer if the seller does indeed hold proper title to the property to convey. 0 When you retain our services, we can help you with all your legal needs, including specific performance claims. For reference, there are certain subjects where specific performance comes up more often, including real estate and the exchange of other unique property. ALL RIGHTS RESERVED. Therefore, we strongly recommend talking with a Florida real estate lawyer to learn your rights. Co. v. Quinco Electrical, Inc., et al., 2022 WL 1230110, *2 (M.D. With the Parent-Child Relationship, Unfair Competition Trade Name, Service Mark and Trade Mark Infringement, Wrongful Interference with Testamentary Expectancy. At the Law Office of Clifford J. It will stop the seller from selling that land to someone else. 66 0 obj <>stream However, there is also something called specific performance which is an equitable remedy in some breach of contract matters. In Florida, not every contract can be granted specific performance, no matter how much the injured party wants to force the other side to go through and comply with the terms of the contract. He completely destroyed the opposition. The appellate court reversed both of the trial courts findings. The plaintiff sued the property owner for breach of contract for monetary damages and for specific performance (to force the property owner to sell the property to it based on its right of first refusal and prevent the sale to the buyer). Brendan A. Sweeney, Esq., of Sweeney Law, P.A., a boutique firm in Fort Lauderdale, Florida, prosecutes and defends real estate litigation matters throughout Florida. 452, 465 (Fla. 2nd DCA Dec. 2, 2022);Surgery Ctr. (4) A court may not enter a temporary injunction unless there are [c]lear, definite and unequivocally sufficient factual findings support[ing] each of the four conclusions necessary to justify entry of a temporary injunction. Bellach v. Huggs of Naples, Inc., 704 So.2d 679, 680 (Fla. 2d DCA 1997)(emphasis added); see also Snibbe v. Napoleonic Society of Am., Inc., 682 So.2d 568, 570 (Fla. 2d DCA 1996)([t]he [courts] findings must do more than parrot each tine of the four-prong test); see also Tesoro Property Owners Assn v. Tesoro Commons, LLC, 237 So.3d 403, 404 (Fla. 4th DCA 2018). 32. Summarizing, the buyer-appellee has not shown by clear, definite and certain proof that the term of the option was longer than six months.The purported exercise of the option on November 28, 1978, was not only too late, Pattison v. Reid, 303 So.2d 40 (Fla. 3d DCA 1974), but was also ineffective. The contract included a six-year (contingency) period for the buyer to secure permits required to develop the land. Closing date on Friday the 11th of August. Breach of Implied in Fact Contract, Breach: 06. However, the party that wants to do the deal isnt pleased with the change of position, of course. Co., LLC, v. Textron, No. Specific performance is an alternative to seeking monetary damages as compensation for losing the benefit of a contract. Tier 3 New York Giants. The contract clearly provided that the buyer had six months to obtain rezoning or to exercise the option to take the property as is. The buyer did not obtain rezoning during that period nor was there any attempt to exercise the option.