NORMAN FRANK, APPELLANT,
v.
ENGEL VAN LINES, INC., APPELLEE

Fla. 3d DCA | 1983-03-01
No. 82-1782
Before SCHWARTZ, C.J., and HENDRY and BASKIN, JJ.
429 So. 2d 333 Florida District Court of Appeal, Third District (1983) Positive Treatment
Cited by 2 cases

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Synopsis

Frank won an $8,000 jury verdict against a moving company for damaged household goods. The court affirmed the denial of pre-judgment interest but reversed the trial court's refusal to award costs, holding that Frank, as the prevailing party, was entitled to costs as a matter of right because the settlement offer's condition was not satisfied.


Holding

The court affirmed that Frank was not entitled to pre-judgment interest. However, the court reversed and held that Frank, as the verdict winner and prevailing party, was entitled to costs as a matter of right because the condition in the settlement offer (judgment "less favorable" than $8,000) was not met, since the judgment equaled the offer amount.


Headnotes

[1] A party is not entitled to prejudgment interest on a jury verdict for damages to household goods during transportation.

[2] The legal effect of a settlement offer is determined by its precise terms as formulated by the offeror.

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Key Quotes

“the legal effect of an offer of settlement is determined by its precise terms as formulated by the offeror”

Establishes the interpretive principle governing settlement offers and cost-shifting provisions

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Facts & Procedural History

Frank sued Engel Van Lines for damages to his household goods during transport from New Jersey to Florida. The case involved hotly disputed issues of …

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Opinion of the Court
SCHWARTZ, Chief Judge.

SCHWARTZ, Chief Judge.

Frank received an $8,000 jury verdict against the defendant moving company on his claim, which was hotly disputed as to both liability and extent, for damages to his household goods during their transportation from New Jersey to Florida. Rejecting his first contention on appeal, we affirm the determination below that he was not entitled to pre-judgment interest. Alarm Systems of Florida, Inc. v. Singer, 380 So. 2d 1162 (Fla. 3d DCA 1980); Town of Longboat Key v. Carl E. Widell & Son, 362 So. 2d 719 (Fla. 2d DCA 1978); compare, e.g., Jockey Club, Inc. v. Bleemer, Levine & Associates Architects and Designers, Inc., 413 So. 2d 433 (Fla. 3d DCA 1982), and cases cited (prejudgment interest recoverable on quantum meruit claim).

We agree, however, that he was erroneously denied costs below. The trial court declined to assess costs for either side1 apparently because the defendant, purportedly under Fla.R.Civ.P. 1.442, made — and Frank rejected — a pre-trial settlement offer in the exact amount, $8,000, of the eventual verdict. As it affects the cost issue, however, the offer specifically stated that

[I]f Plaintiff does not accept said offer and a Judgment is obtained less favorable.

Plaintiff must pay the costs in curred by Defendant after the making of this offer, [e.s.]

This court has held that the legal effect of an offer of settlement is determined by its precise terms as formulated by the offeror. Parliament Ins. Co. v. That Girl in Miami, Inc., 377 So. 2d 1011 (Fla. 3d DCA 1979), and cases cited. In this case, the judgment the plaintiff obtained was the same as, and therefore not “less favorable”3 than the offer. On its face, therefore, the condition under which the offer would have shifted the liability for costs never came into play. There was thus no basis for denying Frank, who, as the verdict winner, was the prevailing party in the litigation, his statutory right to costs. Sec. 57.041, Fla.Stat. (1979); Kendall East Estates, Inc. v. Banks, 386 So. 2d 1245 (Fla. 3d DCA 1980), and cases cited. The trial court is directed to assess those costs upon remand.

Affirmed in part, reversed in part.

. The trial court stated that it was exercising its “discretion” in making this ruling. It is settled, however, that in an action at law like this the entitlement to costs, either of the prevailing party pursuant to Sec. 57.041, Fla.Stat. (1979), or of the offeror under Fla.R.Civ.P. 1.442 accrues as a matter of right, and is not subject to the discretion of the court. Kendall East Estates, Inc. v. Banks, 386 So. 2d 1245, 1247 (Fla. 3d DCA 1980); United Services Automobile Association v. Noell, 372 So. 2d 504 (Fla. 3d DCA 1979).

. In this decisive respect, the “offer” is the semantic reverse of the rule, which requires the plaintiff to pay post-offer costs if the judgment is “not more favorable.” Since this did not in fact occur, it is apparent that, if the offer had tracked the language of the rule, or merely referred to it in general terms, the defendant, as it now contends on its cross-appeal, would have been entitled to costs. United Services Automobile Association v. Noell, supra, n. 1; Santiesteban v. McGrath, 320 So. 2d 476 (Fla. 3d DCA 1975).

. Just as it was “not more favorable” either. Rule 1.442; see note 2, supra.


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Citator

Cited By

  • Thornburg v. Pursell, 476 So. 2d 323 (Fla. 2d DCA 1985)
    …uld be inequitable to permit the trial court to treat the offers as such for purposes of awarding or denying costs. The effect of an offer of settlement is determined by its precise terms as formulated by the offeror. Frank v. Engel Van Lines, Inc., 429 So. 2d 333 (Fla. 3d DCA 1983). The offers in this case were not made simultaneously, and neither offer indicated it was to be joined with the other. We note that, had either of the offers equaled $2000.00, the amount of the judgment finally obtained, the offe…

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