ALAN H. PORTER, M.D., ALAN H. PORTER, M.D., P.A., AND SARASOTA RADIATION AND MEDICAL ONCOLOGY CENTER-PORTER, P.A., APPELLANTS,
v.
WILSON, WALCH, FORTNER, ROBINSON & BESSE, M.D.'S, P.A., APPELLEE
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In this breach of contract and tortious interference case, the Florida District Court of Appeal reversed the trial court's allowance of punitive damages while affirming compensatory damages. The court held that punitive damages are not recoverable for breach of contract unless the breach constitutes an independent, willful tort accompanied by malice, wantonness, fraud, or gross negligence.
Punitive damages are not ordinarily recoverable for breach of contract unless the breach amounts to an independent, willful tort accompanied by malice, wantonness, fraud, or gross negligence. Here, the evidence did not support an award of punitive damages because there was no evidence of willfulness, wantonness, malice, fraud, or gross negligence; the trial court erred in denying the defendants' motion to dismiss the punitive damages claim.
[1] Punitive damages are not ordinarily recoverable in actions for breach of contract, even where the breach is willful and flagrant.
[2] Punitive damages may be recovered in exceptional cases where a breach of contract amounts to an independent, willful tort accompanied by malice, wantonness, or oppression…
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Join FLexlaw to unlock all legal intelligence“Since damages for breach of contract are generally limited to the pecuniary loss sustained; punitive or exemplary damages are not ordinarily recoverable in actions for breach of contract, even where the breach is willful and flagrant. This rule does not obtain, however, in those exceptional cases where the breach amounts to an independent, willful tort, in which event exemplary damages may be recovered under proper allegations of malice, wantonness, or oppression.”
States the fundamental rule governing punitive damages in breach of contract actions and the narrow exception
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Join FLexlaw to unlock all legal intelligenceWilson-P.A., a group of radiotherapy physicians, contracted with Porter-P.A. to provide office space and medical equipment in exchange for a percentag…
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SCHEB, Judge.
This is an appeal from a nonfinal order in which the trial court found appellee entitled to recover both compensatory and punitive damages from appellants for breach of contract and tortious interference with contract. We hold the evidence was not sufficient to allow the jury to conclude that appellee was entitled to recover punitive damages. Thus, we reverse the award of punitive damages; otherwise, we affirm.
Wilson-P.A., a group of Sarasota physicians specializing in radiotherapy, contracted to furnish Porter-P.A. office space and sell it medical and office equipment for the practice of radiotherapy. In return, Porter-P.A. agreed to pay Wilson-P.A. a percentage of its monthly billings from its radiotherapy practice over a two-year period. Dr. Porter was the only radiotherapist employed by Porter-P.A. and signed the contract in his capacity as president. During the contract period Porter established Oncology-P.A. which acquired a linear accelerator and began furnishing radiotherapy services from a second location in Sarasota County.
Wilson sued Porter, Porter-P.A. and Oncology-P.A. for breach of contract and Porter and Oncology-P.A. for tortious interference with contract seeking both compensatory and punitive damages. Wilson contended that Oncology-P.A.’s activities had reduced the billings of Porter-P.A. thereby decreasing the purchase price contemplated by the parties. The trial court ordered separate trials on the issues of liability and damages. At the close of the evidence in the liability trial, Porter, Porter-P.A. and Oncology-P.A. moved to dismiss Wilson-P. A.’s claim for punitive damages. The trial court denied the motion and the jury returned a verdict that Wilson-P.A. was entitled to recover compensatory damages for breach of contract against Porter-P.A., and compensatory and punitive damages against Porter and Oncology-P.A. This appeal ensued.
While the evidence was conflicting, it was sufficient to support the jury’s determination that Porter-P.A. had breached its contract with Wilson-P.A., and that Porter and Oncology-P.A. had interfered with performance of that contract. We have considered each of the points raised by appellants and, except for the issue of punitive damages, we find them to be without merit. We agree with appellants on that point. The court improperly allowed the jury to consider the issue of punitive damages:
Since damages for breach of contract are generally limited to the pecuniary loss sustained; punitive or exemplary damages are not ordinarily recoverable in actions for breach of contract, even where the breach is willful and flagrant. This rule does not obtain, however, in those exceptional cases where the breach amounts to an independent, willful tort, in which event exemplary damages may be recovered under proper allegations of malice, wantonness, or oppression. In such a case, the recovery must be based upon an intentional wrong, insult, abuse, or gross negligence, which amounts to an independent tort.
Here there was no evidence of wilfulness or wantonness or that the breach was attended by fraud or gross negligence. See Bill Branch Chevrolet, Inc. v. Redmond, 378 So. 2d 319 (Fla.2d DCA 1980). The evidence as to the breach was in sharp conflict but there was no evidence indicating that the breach or the interference was accompanied by malice. In fact, Porter’s attorney, who had established Porter-P.A. and advised it in contract negotiations with Wilson-P.A., as well as Porter, testified that prior to establishing Oncology-P.A., Porter had asked the attorney whether establishing Oncology-P.A. would violate the contract between Porter-P.A. and Wilson-P.A. The attorney advised him that it would not. This testimony negated any possible inference of maliciousness on the part of Porter and, therefore, the trial court erred in denying the appellants’ motion for dismissal as to punitive damages.
Accordingly, we reverse the trial court’s order on the issue of punitive damages, affirm all other aspects of the order, and remand for further proceedings consistent with this opinion.
GRIMES, C. J., and BOARDMAN, J., concur.
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Wackenhut Corp. v. Maimone, 389 So. 2d 656 (Fla. 4th DCA 1980)…nd find nothing which would support a tortious interference action even in compensatory damages. A fortiorari, as to the punitive aspect, this cause must be reversed. See Lake Gateway, supra, at p. 772 and Porter v. Wilson, Walch, Fortner, Robinson, 384 So. 2d 190 (Fla.2d DCA 1980). REVERSED AND REMANDED FOR ENTRY OF A JUDGMENT IN ACCORDANCE HEREWITH. ANSTEAD and HURLEY, JJ., concur. . Maimone v. Wackenhut Corporation, 329 So. 2d 332 (Fla. 3d DCA 1976) cert. den. 342 So. 2d 1102 (Fla. 1977). Note the two y…
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Hosp. Corp. OF Lake Worth & Hosp. Corp. of Am. v. Raul Romaguera, M.D., 511 So. 2d 559 (Fla. 4th DCA 1986)…y of the defendant. However, while that discussion constituted a correct statement of the law, it is not relevant to that which we now hold. In its initial brief, the appellant argued, by way of Porter v. Wilson, Walch, Fortner, Robinson and Besse, 384 So. 2d 190 (Fla. 2d DCA 1980), that the trial court improperly allowed the jury to consider the issue of punitive damages. We were, of course, at that time, aware of the seminal case of Winn & Lovett Grocery Co. v. Archer, 126 Fla. 306, 171 So. 214, 222 (1936)…
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Previewing 3 of 7 citing cases — full citator treatment, depth of discussion, and citing context are member features.
Join FLexlaw to unlock all legal intelligenceAuthorities Cited
- Griffith v. Shamrock Vill., Inc., 94 So. 2d 854 (Fla. 1957)
- Nicholas v. Miami Burglar Alarm Co., Inc., 339 So. 2d 175 (Fla. 1976)
- Bill Branch Chevrolet, Inc. v. Redmond, 378 So. 2d 319 (Fla. 2d DCA 1980)