STATE OF FLORIDA, DEPARTMENT OF NATURAL RESOURCES, APPELLANT,
v.
JOHNNY'S CORAL MAINTENANCE CORP., A FLORIDA CORPORATION, AND JUAN MANUEL GONZALEZ, APPELLEES

Fla. 3d DCA | 1989-10-10
No. 89-218
Before NESBITT, COPE and GERSTEN, JJ.
552 So. 2d 1130 Florida District Court of Appeal, Third District (1989) Positive Treatment
Cited by 2 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

The Florida Department of Natural Resources appealed the denial of its petition to forfeit a motor vessel that was registered with false information. The appellate court reversed, holding that forfeiture is mandated under Florida law when a vessel is intentionally registered with false information, even absent proof of a collateral crime.


Holding

The court held that section 328.05(3)(c) does not require proof of a collateral crime to mandate forfeiture, but does require proof of intentional failure to truthfully register title. The intentional false statements regarding the dissolved corporation and address constituted fraud warranting forfeiture under the statute when construed in pari materia with the general forfeiture statute.


Headnotes

[1] A vessel may be subject to forfeiture if its registration contains a false or fictitious name, address, or any false statement, or if fraud is committed in the applicatio…

[2] Forfeiture of a vessel under section 328.05(3)(c), Florida Statutes, does not require proof of a collateral crime.

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Key Quotes

“We reject appellee's claim to the contrary. Proof of an intentional failure to truthfully register title is necessary under the statute, however. This is because section 328.05(3)(c) must be construed in pari materia with the general forfeiture statute, sections 932.-701-932.704, Florida Statutes (1987), under which an "innocent" mistake in registering a vessel is not grounds for forfeiture.”

Establishes that while no collateral crime is required, intentional fraud is required for forfeiture under the statute.

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Facts & Procedural History

A Florida Marine Patrol officer stopped a vessel and discovered that the hull registration number did not match the registration certificate. The cert…

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Opinion of the Court
NESBITT, Judge.

NESBITT, Judge.

The Department of Natural Resources (DNR) appeals a final judgment denying its petition for forfeiture of a motor boat. We reverse.

An officer of the Florida Marine Patrol stopped the operator of the vessel in question for a safety check. He saw that the registration number affixed to the bow of the hull did not match that on the registration certificate the operator produced. The number on the hull indicated the boat was registered to a person in Jacksonville while the registration certificate indicated the vessel belonged to a Miami company called Johnny’s Coral Maintenance Corporation. After further observing that the address listed on the registration certificate was that of the Trail Auto Tag Agency, the officer seized the vessel as being fictitiously registered pursuant to section 328.-05(3)(c), Florida Statutes (1987).

Further investigation showed that the record owner of the vessel, Johnny’s Coral Maintenance Corporation, had been involuntarily dissolved some eleven months pri-or to the date of application for the boat title. Thus, it appeared without question that the vessel had been falsely registered. While the trial judge recognized that the vessel had been incorrectly registered, he found forfeiture too harsh a penalty given the fact that there was no collateral crime such as drug trafficking involved. Based on stipulations of fact made by the parties, the trial judge further found the boat owner lacked the statutorily required fraudulent intent in registering the boat necessary to warrant forfeiture.

In this appeal, the DNR argues that section 328.05(3)(c) does not require a showing of a collateral crime as a prerequisite to forfeiture. The department contends that all that is required is proof of title fraud. We agree that section 328.05(3)(c) does not require proof of a collateral crime in order to mandate forfeiture. Nothing in its wording indicates such intent.1 We reject appellee’s claim to the contrary. Proof of an intentional failure to truthfully register title is necessary under the statute, however. This is because section 328.05(3)(c) must be construed in pari materia with the general forfeiture statute, sections 932.-701-932.704, Florida Statutes (1987), under which an “innocent” mistake in registering a vessel is not grounds for forfeiture.

In the case before us, forfeiture is mandated because the false information appearing on the title to the boat at issue was given neither innocently nor by mistake. The intent clearly was to purposely adopt a scheme to avoid the public’s detection of the boat owner. Consequently, the trial judge’s holding to the opposite effect constitutes not only a failure to apply the applicable statutory law to the facts of the case, see Green v. Putnam, 93 So. 2d 378 (Fla.1957), but also a failure to enter a decision in accord with the manifest weight of the uncontroverted [but stipulated] evidence. See Scarfone v. Magaldi, 522 So. 2d 902 (Fla. 3d DCA), review denied sub nom. Government Employees Ins. Co. v. Scarfone, 531 So. 2d 1353 (Fla.1988).

Juan Manuel Gonzalez was the president of the defunct Johnny’s Maintenance Corporation. It is undisputed that he caused his agent to go to the Trail Tag Agency and register the boat in the name of the corporation which Gonzalez knew had been dissolved some eleven months prior. When the tag agency clerk asked for the address of the record title owner of the boat, Gonzalez’s agent apparently stated that he did not know the address even though the corporation had listed an address with the Florida Secretary of State when the company was incorporated.

Based on defendant’s stipulation that the tag agency clerk would testify that it was she who suggested that Gonzalez’s agent list the Trail Tag Agency address as that of the boat owner, the trial judge determined that the boat owner could not be held accountable for failure to give a truthful address. However, it was Gonzalez’s decision, through his agent, to give an untruthful address. It was Gonzalez’s decision to state that the record title holder was a corporation which he knew to be dissolved. It was Gonzalez’s decision to forego ascertaining that the registration number on the boat’s hull matched that on the boat registration certificate. The cumulative effect of these decisions to intentionally give false information regarding title to the vessel was to deprive the people of the State of Florida, through their law enforcement officers, the right to an accurate, complete system of motor boat records. Cf. State v. James, 543 So. 2d 288, 289 (Fla. 3d DCA 1989). Because “[t]he system is maintained in the public interest for law enforcement purposes and for the prevention of fraud in vehicle ownership, liens, and conveyancing,” id. at 289, this court cannot condone a vessel owner’s intentionally giving false and misleading information on the premise that a tag agency clerk did not stop him from doing it. Neither can this episode be termed an innocent mistake simply because after allowing the title to be incorrectly recorded for some months, upon the vessel’s seizure, Gonzalez quickly reincorporated his company.2 In sum, to hold that these intentionally false statements in registering the boat did not contravene section 328.05(3)(c) and its forfeiture requirement would be in direct disregard of the clear intent of the law.

For the foregoing reasons, the final judgment is reversed with directions to enter a judgment of forfeiture in favor of the Department of Natural Resources.3

GERSTEN, J., concurs.

. The applicable statute states:

(3) It is unlawful:
(c) To use a false or fictitious name, give a false or fictitious address, or make any false statement in any application or affidavit required under the provisions of this chapter or in a bill of sale or sworn statement of ownership or otherwise commit a fraud in any application.

§ 328.05(3)(c), Fla.Stat. (1987).

. While entirely unnecessary to the disposition of this case, one cannot help but wonder if an anonymous boat owner would be so quick to come forward after a seizure of his fraudulently titled vessel were that vessel the cause of an accident or involved in some sort of illegal activity.

. When this case came on for trial, the parties decided to present their evidence by way of stipulation rather than a plenary trial proceeding. Clearly, the case was not decided by way of summary judgment, as the dissent posits. The effect of denominating the trial court’s decision a summary judgment is to not only force the parties to utilize one system of presenting evidence as opposed to another but also to give the defendant, who fully acquiesced in the original procedure selected, a second try at proving his case.

Other
COPE, Judge

COPE, Judge

(concurring in part and dissenting in part).

I agree that section 328.05(3)(c), Florida Statutes (1987), does not require a showing of a collateral crime as a prerequisite to forfeiture, and also agree that an owner is allowed to demonstrate the existence of an innocent mistake as a defense to a forfeiture action. While I agree that the Department is entitled to a reversal in this case, I would remand to the trial court for an evidentiary hearing. The owner’s defenses essentially are: that the corporation, although dissolved, was accurately reflected in the Secretary of State’s records and has since been reinstated; that it is quite common for a small corporation to continue to do business after being dissolved for failure to pay fees, and then to be reinstated to active status after the fees are paid; that the boat was purchased as a used vessel with existing numerals the owner did not realize were incorrect; and that the idea to use the address of the tag agency on the registration was that of a tag agency clerk, agreed to by the owner’s agent in the owner’s absence.

The trial court adjudicated the matter on the basis of proffers, so that there has been no assessment of credibility.

The trial court apparently assigned great weight to the fact that the tag agency address was used at the suggestion of the tag agency clerk. Because the sanction of forfeiture is a severe one, I would remand for an evidentiary hearing. A determination whether there was an innocent mistake depends, in my view, on a more fully developed evidentiary record, and an assessment of the owner’s credibility. In effect the trial court entered a summary judgment for the owner which we have reversed. On this record, however, there are disputed issues of material fact which also preclude entering what is in effect a summary judgment in favor of the Department.

I join in the reversal but dissent from the instruction to direct entry of forfeiture in favor of the Department of Natural Resources.


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Cited By

  • In re the Forfeiture OF ONE 31' Seahawk "Cigarette" Vessel, 572 So. 2d 1038 (Fla. 4th DCA 1991)
    …he third district in reference to an analogous statute, that some wrongdoing must be alleged in addition to the mere possession of the vessel with no or altered hull numbers. See State, Dep't of Natural Resources v. Johnny’s Coral Maintenance Corp., 552 So. 2d 1130 (Fla. 3d DCA 1989). In Johnny’s Coral, the third district, in a split decision, found an analogous statute did not require proof of a collateral crime in order to mandate forfeiture; but an affirmative act of wrongdoing and guilty knowledge had bee…

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