LUMBERMENS MUTUAL CASUALTY COMPANY, APPELLANT,
v.
VICTOR QUINTANA AND OLGA GONZALEZ, APPELLEES
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Lumbermens Mutual Casualty Company appeals a $20,000 attorney's fee award to insureds' counsel in a declaratory judgment action concerning uninsured motorist coverage eligibility. The appellate court reversed the fee award as excessive, holding that it must bear a reasonable relationship to the benefits obtained, which totaled only $15,000.
The court reversed the $20,000 attorney's fee award, holding that the fee does not bear a reasonable relationship to the results obtained—the maximum total recovery of $15,000—and remanded for a new hearing on the fee assessment.
[1] An attorney's fee award must bear a reasonable relationship to the beneficial results obtained by the attorney's services.
[2] The reasonableness of an attorney's fee award is determined by considering the beneficial results achieved in relation to the total potential liability.
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Join FLexlaw to unlock all legal intelligenceLumbermens filed a declaratory judgment action against its insureds, Victor Quintana and Olga Gonzalez, to determine whether Quintana was a resident h…
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PER CURIAM.
Lumbermens Mutual Casualty Company appeals an award of $20,000 in attorney’s fees to the insureds’ attorney' on the ground that the amount of the award is excessive.
Lumbermens Mutual Casualty Company filed a complaint for declaratory judgment seeking a determination as to whether defendant Victor Quintana was a member of the household of co-defendant Olga Gonzalez to whom Lumbermens had issued an automobile liability insurance policy which provided uninsured motorist coverage for a relative of the name insured who is a resident of the same household as the insured. Lumbermens took the position that Victor Quintana was not a resident of the household of Olga Gonzalez, its insured, on the date Quintana was struck by an uninsured motorist and, therefore, was not entitled to such benefits under the policy issued to Gonzalez. Quintana counterclaimed seeking a determination that he was entitled to both the uninsured motorist and no-fault1 provisions of the policy. Quintana also prayed that the court compel arbitration and award attorney’s fees. The uninsured motorist provision provided up to $10,000 in coverage, and the no-fault or personal injury protection provided a maximum of $5,000. At the conclusion of the trial the court granted the motion for directed verdict of Quintana and Gonzalez and a final declaratory judgment was entered in their favor. They then moved to assess costs and attorney’s fees. After a hearing, the court awarded Quintana and Gonzalez $20,000 in attorney’s fees. We reverse.
One of the factors to be considered as a guide in determining the reasonableness of an attorney’s fee award is the beneficial results, if any, of the services. Provus v. Provus, 44 So. 2d 656 (Fla.1950). The fee awarded must bear a reasonable relationship to the results obtained. Ruwitch v. First National Bank of Miami, 327 So. 2d 833 (Fla. 3d DCA 1976). The amount of the award should square with fairness and justice to all alike under similar conditions and circumstances. Donner v. Donner, 281 So. 2d 399, 401 (Fla. 3d DCA 1973). In the case at bar the total liability of Lumbermens was $15,000 and under the record presented the $20,000 attorney’s fee award does not bear a reasonable relationship to the result obtained (i. e. a judgment determining that Quintana was entitled to the uninsured motorist and personal injury protection benefits) which at the maximum could only total- $15,000. Cf. Ruwitch, supra, and Allstate Insurance Company v. Baer, 334 So. 2d 135 (Fla. 3d DCA 1976).
We further note that the “time affidavit” relied upon by the attorney for Quin-tana and Gonzalez and their expert witness included time spent by an investigator, secretary and law associate. In addition, some of the time included in the affidavit2 had to do with filing insolvency forms pertaining to another insurance company.
We find that under the standards set out in the above cited cases and Baruch v. Giblen, 122 Fla. 59, 164 So. 831 (1936) the record is insufficient to support the $20,000 award. Accordingly, the award is reversed and the cause remanded to the trial court for further hearing on the motion to assess attorney’s fees.
Reversed and remanded.
. Personal injury protection benefits.
. This “time affidavit” was not introduced into evidence.
Cases With Similar Vibessemantic neighbors from the corpus
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Travieso v. Travieso, 447 So. 2d 940 (Fla. 3d DCA 1984)…7); Hall v. Hall, 200 So. 2d 544 (Fla. 3d DCA 1967). It is apodictic that “[t]he amount of the award [of attorney’s fees] should square with fairness and justice to all alike under similar circumstances.” Lumbermens Mutual Casualty Co. v. Quintana, 366 So. 2d 529, 530 (Fla. 3d DCA 1979); see Donner v. Donner, 281 So. 2d 399 (Fla. 3d DCA 1973) (award of attorney’s fees should be made only for services that are shown to have been reasonably necessary). Considering the factors provided in Florida Code of Profe…
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William A. Baker, M.D. v. Varela, 416 So. 2d 1190 (Fla. 1st DCA 1982)…fees issue, appellants argue that an award of attorney’s fees “must bear a reasonable relationship to the results obtained.” Ruwitch v. First National Bank of Miami, 327 So. 2d 833 (Fla. 3rd DCA 1976); Lumbermens Mutual Casualty Company v. Quintana, 366 So. 2d 529 (Fla. 3rd DCA 1979); All-Star Insurance Corporation v. Scandia, Inc., 321 So. 2d 575 (Fla. 3rd DCA 1975); and Meeks v. State Farm Mutual Automobile Insurance Co., 460 F. 2d 776 (5th Cir. 1972). In these cases the courts view the “results obtained” s…
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Elec. Ins. Co. v. Vincent, 415 So. 2d 907 (Fla. 3d DCA 1982)…PER CURIAM. Affirmed. See F. L. Stitt & Co. v. Powell, 94 Fla. 550, 114 So. 375 (1927); Adams v. Adams, 376 So. 2d 1204 (Fla. 3d DCA 1979), cert. denied, 388 So. 2d 1109 (Fla.1980), and cases cited; Lumbermens Mutual Casualty Co. v. Quintana, 366 So. 2d 529 (Fla. 3d DCA 1979); see also, Jockey Club, Inc. v. Bleemer, Levine & Associates Architects and Designers, Inc., 413 So. 2d 433 (Fla. 3d DCA 1982).…
Authorities Cited
- Sailing W. Baruch v. Giblen, 122 Fla. 59 (Fla. 1935)
- Provus v. Provus, 44 So.2d 656 (Fla. 1950)
- Donner v. Donner, 281 So. 2d 399 (Fla. 3d DCA 1973)
- Allstate Ins. Co. v. Bernhard Baer and Yetta Baer, 334 So. 2d 135 (Fla. 3d DCA 1976)
- Ruwitch v. First Nat'l Bank OF Miami, 327 So. 2d 833 (Fla. 3d DCA 1976)