CIAMAR MARCY, INC., A DISSOLVED DELAWARE CORPORATION AND JULIO DEL REY, INDIVIDUALLY AND AS SHAREHOLDER AND DIRECTOR OF CIAMAR MARCY, INC., APPELLANTS,
v.
RENATO M. MONTEIRO DA COSTA, APPELLEE

Fla. 3d DCA | 1987-06-09
No. 86-1202
Before BARKDULL, HUBBART and DANIEL S. PEARSON, JJ.
508 So. 2d 1282 Florida District Court of Appeal, Third District (1987) Caution
Cited by 15 cases

AI-generated. These summaries, headnotes, and key points are machine-generated and may contain errors or omissions. Always verify against the full opinion text below. Not legal advice.

Synopsis

Ciamar Marcy, Inc. and Julio Del Rey appealed a judgment against them for wrongful repossession of a vessel and conversion of personal property. The court affirmed the findings of wrongful repossession, conversion damages, and punitive damages, but reversed the award of attorney's fees because the defendants' position on the malice issue, while ultimately unsuccessful, was not frivolous.


Holding

The court affirmed the awards of compensatory damages ($10,000) and punitive damages for conversion, holding that punitive damages are permissible in conversion cases when the defendant acts with actual malice or reckless disregard of the plaintiff's rights. However, the court reversed the attorney's fees award because the defendants' legal position on the malice issue, though ultimately meritless, was not so frivolous as to warrant sanctions under Florida Statutes Section 57.105.


Headnotes

[1] A trial court has discretion to narrow the issues to be tried in a non-jury trial.

[2] Punitive damages are generally recoverable in intentional tort cases where malice is an essential element of the tort.

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Key Quotes

“the rule in conversion cases is that punitive damages are not ordinarily recoverable where the evidence shows that the taking was accomplished under a mistaken belief that the defendant had a legal right to the property.”

Establishes the general rule that punitive damages are unavailable in conversion cases absent malice or reckless disregard.

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Facts & Procedural History

The defendants repossessed a vessel leased to the plaintiff without making any inquiry into whether the boat mortgage payments were current. The mortg…

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Opinion of the Court
PER CURIAM.

PER CURIAM.

This is an appeal by the defendants [Cia-mar Marcy, Inc. and Julio Del Rey] from an adverse final judgment entered in favor of the plaintiff [Renato M. Monteiro Da Cos-ta] after a non-jury trial in an action sounding in: (1) wrongful repossession of a vessel under a lease agreement, and (2) conversion of certain personal property. For the reasons stated below, we affirm in part and reverse in part.

At the outset, we see no merit in the defendant’s first three points on appeal. There has been no error shown in (a) the trial court’s narrowing of the issues to be tried in this non-jury trial which was made during the course of the parties’ opening statements, see Grapeland Heights Civic Ass’n v. City of Miami, 267 So. 2d 321, 322 (Fla.1972); Roberts v. Braynon, 90 So. 2d 623, 626-27 (Fla.1956); Hillsborough County v. Sutton, 150 Fla. 601, 8 So. 2d 401, 402 (1942); Edenfield v. Crisp, 186 So. 2d 545, 549 (Fla. 2d DCA 1966); (b) the finding of wrongful repossession of the subject vessel by the defendants, see Quest v. Barnett Bank of Pensacola, 397 So. 2d 1020, 1023-24 (Fla. 1st DCA 1981); Eglin Fed. Credit Union v. Curfman, 386 So. 2d 860 (Fla. 1st DCA 1980); Ford Motor Credit Corp. v. Waters, 273 So. 2d 96, 99 (Fla. 3d DCA 1973); and (c) the $10,000 compensatory damage award for the conversion of the plaintiff's personal property sued upon below. See Heintzelman’s Truck Center, Inc. v. Gibson, 409 So. 2d 1060 (Fla. 5th DCA), pet. for review denied, 419 So. 2d 1197, 1198 (Fla.1982); Doral Country Club, Inc. v. Lindgren Plumbing Co., 175 So. 2d 570 (Fla. 3d DCA), cert. denied, 179 So. 2d 212 (Fla.1965).

The defendant’s point on appeal concerning the propriety of the $10,000 punitive damages award also has no merit. We reach this result based on the following briefly stated legal analysis.

First, the rule in Florida appears to be that punitive damages are always recoverable in intentional tort cases where malice is one of the essential elements of the tort. The underlying rationale for this rule is that the proof of malice required to make out the cause of action is also sufficient evidence of malice on the part of the defendant to permit the jury to award punitive damages as punishment. See, e.g., City of Hollywood v. Coley, 258 So. 2d 828 (Fla. 4th DCA 1971) (false arrest and malicious prosecution); Joab, Inc. v. Thrall, 245 So. 2d 291 (Fla. 3d DCA 1971) (assault and battery); Holland v. Glass, 213 So. 2d 320 (Fla. 4th DCA 1968) (assault and battery); Wrains v. Rose, 175 So. 2d 75 (Fla. 2d DCA 1965) (false arrest and malicious prosecution).

Second, the intentional tort of conversion, which we deal with in the instant case, does not contain malice as one of its essential elements, as the tort may be established upon a showing of the taking by the defendant of personal property belonging to the plaintiff upon a mistaken belief as to the legal right of the defendant to the converted property. This being so, the rule in conversion cases is that punitive damages are not ordinarily recoverable where the evidence shows that the taking was accomplished under a mistaken belief that the defendant had a legal right to the property. General Finance Corp. of Jacksonville v. Sexton, 155 So. 2d 159 (Fla. 1st DCA 1963).

An exception to this rule is recognized, however, where there is some evidence in the record of actual malice or reckless disregard of the plaintiff’s rights by the defendant in asserting dominion over the plaintiff's property — as this proof places the case squarely under the intentional tort-malice rule in which punitive damages are recoverable. Buie v. Barnett First Nat’l Bank of Jacksonville, 266 So. 2d 657 (Fla.1972) (repossessor with knowledge that debtor not really in default made jury question as to punitive damages); Medel v. Republic Nat’l Bank of Miami, 365 So. 2d 782 (Fla. 3d DCA 1978) (summary judgment for defendant on punitive damages reversed), cert. denied, 376 So. 2d 75 (Fla.1979); Bank of Miami v. Tambourine, 218 So. 2d 507 (Fla. 3d DCA 1969) (boat repossession similar to the instant case; evidence sufficient to support jury verdict on punitive damages).

Third, there is more than sufficient evidence in this record that the taking of the plaintiffs vessel and the personal property aboard the vessel was accomplished by the defendant Del Ray with reckless disregard for the plaintiffs rights. The evidence discloses that the defendant failed to make the slightest inquiry which would have shown that the payments under the subject boat mortgage had been made by the plaintiff and that the mortgage was not in default; moreover, there was no legal basis whatever for the seizure of the plaintiff’s personal property aboard the vessel. An award of punitive damages for this reckless conversion of the plaintiff’s personal property was therefore permissible on this record.

We do, however, find merit in the defendant’s claim that the trial court erred in awarding attorney’s fees for the plaintiff under Section 57.105, Florida Statutes (1985).

The fact that we have concluded that the defendants misconceived the limits of self-help and wrongfully seized the leased vessel and some of the plaintiff’s personal belongings does not mean, as urged by the plaintiff, that their position on the distinct issue of malice or reckless disregard was frivolous. See Builders Shoring and Scaffolding v. King, 453 So. 2d 534 (Fla. 5th DCA 1984); cf. Golden Eagle Distributing Corp. v. Burroughs Corp., 801 F. 2d 1531 (9th Cir.1986) (under Federal Rule of Civil Procedure 11, the fact that one of several arguments is unmeritorious does not warrant imposition of sanctions).

This is not a case where, as required for an award of attorney’s fees under Section 57.-105, Florida Statutes (1985), there is a complete absence of a justiciable issue of law or fact. Eckhoff v. Revlon, Inc., 414 So. 2d 1152 (Fla. 3d DCA 1982); see Sachs v. Hoglund, 397 So. 2d 447 (Fla. 3d DCA 1981) (statute requires that party raise issues which in their entirety completely lack justiciability and are, in fact, frivolous); T.I.E. Communications, Inc. v. Toyota Motors Center, Inc., 391 So. 2d 697 (Fla. 3d DCA 1980) (appeal not frivolous where substantial justiciable question can be discerned from any part of it, even though likely to be decided against proponent).

Indeed, as our opinion itself reveals, the defendants’ resistance to the plaintiff’s claim for punitive damages — although now declared to be devoid of merit — was, at the least, arguable both factually and legally. See Cusick v. Condominium Marketing Consultants, Inc., 434 So. 2d 25 (Fla. 3d DCA 1983).

The final judgment under review is affirmed in all respects, except that the award of attorney’s fees for the plaintiff is reversed.

Affirmed in part, reversed in part.


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Citator

Cited By

  • Seymour v. Adams, 638 So. 2d 1044 (Fla. 5th DCA 1994)
    …mistaken belief that he had a right to possession, since malice is not an essential element of the action. City of Cars, Inc. v. Simms, 526 So. 2d 119 (Fla. 5th DCA), review denied, 534 So. 2d 401 (Fla.1988); Ciamar Marcy, Inc. v. Monteiro Da Costa, 508 So. 2d 1282 (Fla. 3d DCA 1987). The Adamses’ retention of Seymour’s personalty following the eviction cannot be justified on the basis of the landlord’s lien for unpaid rent established by section 83.08, Florida Statutes (1991),5 since the establishment of suc…
  • King v. E. Airlines, Inc., 536 So. 2d 1023 (Fla. 3d DCA 1987)
    …. Ellis, 403 So. 2d 459 (Fla. 5th DCA 1981) (manufacturer who is aware of defect but chooses not to seek safer alternative may be awarded punitive damages), review denied, 415 So. 2d 1359 (Fla.1982); see also Ciamar Marcy, Inc. v. Monteiro Da Costa, 508 So. 2d 1282 (Fla. 3d DCA 1987) (repossession of property without inquiry as to whether payments were made justifies punitive damage award). King has directed our attention to Florida cases which recognize an action for intentional infliction of emotional distr…
  • Kieffer v. Atheists of Fla., Inc., 269 So. 3d 656 (Fla. 2d DCA 2019)
    …may be established upon a showing of the taking by the defendant of personal property belonging to the plaintiff upon a mistaken belief as to the legal right of the defendant to the converted property." Ciamar Marcy, Inc. v. Monteiro Da Costa, 508 So. 2d 1282, 1283-84 (Fla. 3d DCA 1987). Here, regardless of what Kieffer and Wachs believed about the effectiveness of their expulsion, it is undisputed that they received the subject checks made out to AOF at a time when they were officers and member […

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