TRANSFLORIDA BANK, A FLORIDA BANKING CORPORATION, LEONARD E. ZEDECK, ADAM KURLANDER, AND ZEDECK AND KURLANDER, P.A., APPELLANTS,
v.
A. MATTHEW MILLER, APPELLEE
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.
TransFlorida Bank and related parties appealed the dismissal of their complaint for breach of fiduciary duty and a judgment awarding attorney's fees to the defendant. The court affirmed the dismissal but reversed and remanded the attorney's fees award due to improper application of a contingency risk multiplier in the fee calculation.
The dismissal of the complaint was proper because the letter did not support an allegation that a fiduciary duty to notify was created. However, the trial court erred in applying a contingency risk multiplier to the section 57.105(1) attorney's fees because a case so patently frivolous that counsel would undertake it only for a contingent fee based on section 57.105 recovery cannot reasonably involve the kind of risk that supports a multiplier.
[1] A letter from an attorney for a third party does not, on its face, create a fiduciary duty to a bank.
[2] Dismissal of a complaint with prejudice is not an abuse of discretion when no request for leave to amend is made and the facts alleged do not support relief under another…
Previewing 2 of 6 headnotes on this case. FLexlaw’s editorially structured points of law — every proposition, pinpointed — are reserved for members.
Join FLexlaw to unlock all legal intelligence“The trial court did not err by determining that the letter, on its face, does not support the allegation that a fiduciary duty to the appellant bank was created.”
Establishes the legal standard for evaluating whether a fiduciary duty exists based on the correspondence in question.
Previewing 1 of 3 key quotes on this case — the court’s exact language, pinpointed for members.
Join FLexlaw to unlock all legal intelligenceTransFlorida Bank and its counsel sued appellee Miller, an attorney for a third party, alleging breach of a fiduciary duty to notify based solely on a…
The full statement of facts, procedural history, and disposition for this case are member content.
Join FLexlaw to unlock all legal intelligence© FLexlaw, Inc. — AI-generated enrichments are proprietary. All rights reserved.
Explore caselaw by topic → Browse Vexatious Conduct cases and more on FLexlaw
STONE, Judge.
We affirm a final order dismissing the appellants’ second amended complaint for failure to state a cause of action but reverse a consolidated final judgment for attorney’s fees. Appellants’ claim is for the breach of an alleged fiduciary duty to “notify.” Appellants rely solely upon a letter from appellee, an attorney for a third party, to create the duty.
The trial court did not err by determining that the letter, on its face, does not support the allegation that a fiduciary duty to the appellant bank was created. See Schweitzer v. Seaman, 383 So. 2d 1175 (Fla. 4th DCA 1980). Further, it was not an abuse of discretion to dismiss the cause with prejudice in the absence of a request for leave to amend, particularly as the facts as alleged do not support relief on another theory. See, e.g., Century 21 Admiral’s Port, Inc. v. Walker, 471 So. 2d 544 (Fla. 3d DCA 1985).
The primary issues on appeal involve attorney’s fees awarded under section 57.-105(1), Florida Statutes. As for those issues, we affirm in part and reverse in part. It was not an abuse of discretion to award the statutory fees for lack of a justiciable issue. Whitten v. Progressive Casualty Ins. Co., 410 So. 2d 501 (Fla.1982). However, we reverse as to the computation of those fees.
Following dismissal of the complaint, the trial court conducted an extensive evidentiary hearing and found a complete absence of justiciable issue of either law or fact. The court found that plaintiff and its counsel instituted and pursued the action, which the court deemed frivolous, in bad faith. The court found that the defense of the claim was made necessary by conduct deemed vexatious, oppressive, wanton, and designed to abuse the process of the court for the purpose of harassing the defendant. There is testimony in the record supporting the court’s conclusions that the plaintiff’s purpose in bringing the action was harassment.
However, the trial court erred by applying a contingency risk multiplier in computing the 57.105(1) attorney’s fees. The fee agreement between appellee and his counsel was expressly made contingent upon a successful recovery under section 57.105(1). But we do not consider the contingency fee provisions of Florida Patient’s Compensation Fund v. Rowe, 472 So. 2d 1145 (Fla.1985) applicable to fees recoverable under section 57.105(1). A case that is so patently frivolous as to cause counsel to undertake litigation for a fee that is solely contingent on a section 57.105 recovery cannot reasonably be treated as involving a risk that would support a multiplier.
We consider this view to be consistent with the principles expressed in Standard Guaranty Ins. Co. v. Quanstrom, 555 So. 2d 828 (Fla.1990). In that case the supreme court recognized that imposition of a multiplier is not mandated, but that the trial court need only consider whether application is appropriate. In Quanstrom, the court noted that a significant factor supporting application of a multiplier is whether contingency agreements are customarily used in the type of circumstances involved and whether there is support in the record for a conclusion that the prevailing party would otherwise be unable to afford competent counsel.
Additionally, upon remand the trial court should closely examine the attorney’s fee awarded for the time appellee expended individually for his legal efforts. Fees for the appellee attorney’s own services are to be limited to actual legal services and not awarded for time expended in his capacity as a client. Care must also be taken to avoid duplication of compensation between appellee and his counsel. See Maulden v. Corbin, 537 So. 2d 1085 (Fla. 1st DCA), rev. denied, 548 So. 2d 662 (1989). See also Friedman v. Backman, 453 So. 2d 938 (Fla. 4th DCA 1984).
Therefore, the judgment of dismissal is affirmed, the judgment as to attorney’s fees is reversed, and the cause is remanded for further proceedings.
DELL and WARNER, JJ., concur.
The order of this court dated February 20, 1991 on appellee’s motions for attorney’s fees is clarified by amending that order to provide that appellee is awarded attorney’s fees on appeal for the defense of the issues in case number 89-2276. Attorney’s fees on appeal are denied as to all issues in consolidated case number 88-2462.
ORDERED that Appellants’ March 7, 1991 motion for rehearing or certification and Motion for Rehearing en banc are denied.
Cases With Similar Vibessemantic neighbors from the corpus
Citator
Cited By
-
Indem. Ins. Co. OF N. Am. a/s/o Unidas Sys., Inc. v. Chambers, 732 So. 2d 1141 (Fla. 4th DCA 1999)…of its attorney’s fees. We find ample record support for the trial court’s award of attorney’s fees to Tetra Pak, see L.L. v. Zipperer, 484 So. 2d 92 (Fla. 5th DCA 1986), and, therefore, find no abuse of discretion. See Transflorida Bank v. Miller, 576 So. 2d 752 (Fla. 4th DCA 1991). We also affirm the award of expert witness fees, Appellant having conceded the authority of Travieso v. Travieso, 474 So. 2d 1184 (Fla.1985). Indemnity voluntarily dismissed its complaint against Chambers, and the [*1143] trial…
-
Command Credit Corp. v. Mineo, 664 So. 2d 1123 (Fla. 4th DCA 1995)…exceeded the amount set out in the percentage schedule, see Kaufman v. MacDonald, 557 So. 2d 572 (Fla.1990), and that the trial court did not err in awarding Mr. Mineo attorney’s fees for his services as an attorney, see Transflorida Bank v. Miller, 576 So. 2d 752 (Fla. 4th DCA 1991). The one issue about which we believe there to be uncertainty involves the trial court’s use of a multiplier in setting the attorney’s fee award to Mr. Krathen. We must answer whether an underlying statute authorizing an attorne…
-
Swortz v. S. Rainbow Corp., 603 So. 2d 107 (Fla. 3d DCA 1992)…tently frivolous as to cause counsel to represent his or her client for a fee that is solely contingent upon a section 57.105 recovery, it cannot reasonably be treated as involving a risk that would support a multiplier. Transflorida Bank v. Miller, 576 So. 2d 752, 753 (Fla. 4th DCA 1991). As a result, the trial court may not, on remand, apply a contingency risk multiplier in computing the section 57.105 attorney’s fees. For the foregoing reasons, the order authorizing attorney’s fees, pursuant to chapter 83…
Previewing 3 of 8 citing cases — full citator treatment, depth of discussion, and citing context are member features.
Join FLexlaw to unlock all legal intelligenceAuthorities Cited
- Fla. Patient's Comp. Fund v. Rowe, 472 So. 2d 1145 (Fla. 1985)
- Standard Guar. Ins. Co. v. Quanstrom, 555 So. 2d 828 (Fla. 1990)
- Whitten v. Progressive Cas. Ins. Co., 410 So. 2d 501 (Fla. 1982)
- Century 21 Admiral's Port, Inc. v. Walker, 471 So. 2d 544 (Fla. 3d DCA 1985)
- Schweitzer v. Seaman, 383 So. 2d 1175 (Fla. 4th DCA 1980)
- Maulden v. Corbin, 537 So. 2d 1085 (Fla. 1st DCA 1989)
- Friedman v. Backman, 453 So. 2d 938 (Fla. 4th DCA 1984)