JACK Y. WILLIAMS AND G. RITA ALA, APPELLANTS,
v.
JOHN J. STEWART, APPELLEE

Fla. 2d DCA | 1983-01-05
No. 81-1466
OTT, C.J., and BOARDMAN, J., concur.
424 So. 2d 206 Florida District Court of Appeal, Second District (1983) Positive Treatment
Cited by 1 case

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Synopsis

In this appeal from an award of attorney's fees, the Florida District Court of Appeal reversed the trial court's fee award under section 57.105, holding that a counterclaim arising from the same contract at issue in the underlying complaint should not be deemed frivolous merely because Florida does not recognize the particular cause of action asserted.


Holding

The court reversed the attorney's fee award, holding that section 57.105 should not be applied to counterclaims arising from the same contract as the underlying complaint merely because Florida does not recognize the particular theory of liability, even though other jurisdictions do recognize similar claims.


Headnotes

[1] A court shall award reasonable attorney's fees to a prevailing party in a civil action upon finding a complete absence of a justiciable issue of law or fact.

[2] A complete lack of a justiciable issue, justifying attorney's fees under section 57.105, Florida Statutes, may be found where an attempt to create a controversy is frivol…

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Key Quotes

“The purpose of section 57.105 is to discourage baseless claims, stonewall defenses and sham appeals in civil litigation by placing a price tag through attorney's fees awards on losing parties who engage in these activities.”

Establishes the statutory purpose behind fee awards for frivolous litigation

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Facts & Procedural History

Appellee Stewart filed a complaint seeking return of a deposit on a real property purchase contract. Appellants Williams and Ala filed a counterclaim …

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Opinion of the Court
CAMPBELL, Judge.

CAMPBELL, Judge.

This appeal is an outgrowth of the same proceeding in the trial court that resulted in our decision of this same date also styled Williams v. Stewart, 424 So. 2d 204 (Fla. 2d DCA 1983). We suggest reference to that decision for a full discussion of the facts involved here.

In this appeal, appellants seek reversal of the trial court’s award of attorney’s fees to appellee pursuant to section 57.105, Florida Statutes (1981). That statute, of course, provides that a court shall award a prevailing party reasonable attorney’s fees in a civil action in which the court finds a complete absence of a justiciable issue of either law or fact. Our supreme court in Whitten v. Progressive Casualty Insurance Co., 410 So. 2d 501 (Fla.1982), has construed that statute to justify a trial court’s finding of a complete lack of a justiciable issue where the attempt to create a controversy is frivolous. The court there said:

The purpose of section 57.105 is to discourage baseless claims, stonewall defenses and sham appeals in civil litigation by placing a price tag through attorney’s fees awards on losing parties who engage in these activities. Such frivolous litigation constitutes a reckless waste of judicial resources as well as the time and money of prevailing litigants.

410 So. 2d at 505. In this cause, appellee initiated the proceeding by filing his complaint seeking return of a deposit on a contract for the purchase of real property. The trial court awarded attorney’s fees on a finding of a lack of a justiciable issue of law regarding appellants’ counterclaim. The essence of this counterclaim was that appellee had refused to perform the con tract, thereby breaching an implied agreement that he would perform, and therefore causing damages in the loss of the real estate commission appellants would have received had appellee performed. While Florida does not recognize a cause of action based upon that theory and those facts, as we pointed out in our companion decision, other jurisdictions do. See Ellsworth Dobbs, Inc. v. Johnson, 50 N.J. 528, 236 A. 2d 843 (1967).

We do not believe that the effect of the supreme court’s decision in Whitten was meant to allow an award of attorney’s fees in a case such as this where a counterclaim was involved which grew out of the contract which was the subject matter of the underlying complaint. We, therefore, REVERSE and REMAND.

OTT, C.J., and BOARDMAN, J., concur.


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