TGI DEVELOPMENT, INC., APPELLANT,
v.
CV REIT, INC., A DELAWARE CORPORATION F/K/A CENVILL INVESTORS, INC., H. IRWIN LEVY; AND BOCA GROVE, LTD., THROUGH ITS GENERAL PARTNER, LA BONTE DIVERSIFIED DEVELOPMENT, INC., APPELLEES

Fla. 4th DCA | 1996-01-03
No. 94-2749
STONE, J., and STREITFELD, JEFFREY E., Associate Judge, concur.
665 So. 2d 366 Florida District Court of Appeal, Fourth District (1996) Positive Treatment
Cited by 20 cases

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Holding

Fraud in the inducement, even when seeking only economic losses, is an independent tort not barred by the economic loss rule.


Facts & Procedural History

TGI Development, Inc. sued, alleging common law fraud. The trial court granted summary judgment for the defendants, finding the claim barred by the ec…

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Opinion of the Court
FARMER, Judge.

FARMER, Judge.

TGI Development, Inc., appeals from a final summary judgment in which the trial court found that its common law fraud claim was barred by the economic loss rule. We reverse.

Fraud in the inducement, even when only economic losses are sought to be recovered, is the kind of independent tort that is not barred by the economic loss rule. HTP, Ltd. v. Lineas Aereas Costarricenses, S.A, 661 So. 2d 1221 (Fla. 3d DCA Sept. 22, 1995); but see Woodson v. Martin, 663 So. 2d 1327 (Fla. 2d DCA 1995) (common law fraud in the inducement claim seeking only economic losses is barred by economic loss rule.)1 However inartfully pleaded, we find that TGI’s complaint sufficiently alleged a claim for common law fraud in the inducement.2 Therefore, it was error to grant summary judgment in favor of the appellees.

REVERSED and REMANDED.

STONE, J., and STREITFELD, JEFFREY E., Associate Judge, concur. . We agree with the dissenting opinions of Judges Altenberad and Lazzara in Woodson, and thus certify conflict with the majority’s decision in that case.

. Even though we find the claim sufficiently pleaded, on remand we direct the trial court to allow TGI, if it be so advised, to replead its fraudulent inducement claim in an amended pleading.


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Citator

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  • Hotels OF KEY Largo, Inc. v. RHI Hotels, Inc., 694 So. 2d 74 (Fla. 3d DCA 1997)
    …ule. See Wassall v. Payne, 682 So. 2d 678 (Fla. 1st DCA 1996); Jarmco, Inc. v. Polygard, Inc., 668 So. 2d 300 (Fla. 4th DCA), rev. granted, 678 So. 2d 339 (Fla.1996), and decision approved, 684 So. 2d 732 (Fla.1996); TGI Dev., Inc. v. CV Reit, Inc., 665 So. 2d 366 (Fla. 4th DCA), rev. granted, 684 So. 2d 1350 (Fla. 1996), and decision approved 689 So. 2d 255, 22 Fla. L. Weekly S22 (Fla., Dec. 19, 1996). The Supreme Court of Florida subsequently approved this decision noting that the “economic loss rule has no…
  • Greenfield v. Manor Care, Inc., 705 So. 2d 926 (Fla. 4th DCA 1997)
    …ndependent tort claim to recover economic damages arising out of a breach of contract.) See id. at 181. This court has recently recognized “fraud in the inducement” as an exception to the economic loss doctrine. See TGI Dev., Inc. v. CV Reit, Inc., 665 So. 2d 366 (Fla. 4th DCA 1996), approved 689 So. 2d 255 (Fla.1997); see also HTP, Ltd. v. Lineas Aereas Costarricenses, S.A., 661 So. 2d 1221 (Fla. 3d DCA 1995), approved, 685 So. 2d 1238 (Fla.1996). In approving the Third District Court of Appeals decision in…
  • Monco Enters., Inc. v. Ziebart Corp., 673 So. 2d 491 (Fla. 1st DCA 1996)
    …1972)). In the instant case, appellants have pled the independent tort of fraud in the inducement, and the economic loss rule does not bar the action. See Johnson v. Davis, 480 So. 2d 626 (Fla.1985); see also TGI Development, Inc. v. CV Reit, Inc., 665 So. 2d 366 (Fla. 4th DCA 1996) (holding that fraud in the inducement claim for economic losses is independent tort not barred by economic loss rule); HTP, Ltd. v. Lineas Aereas Costarricenses, 661 So. 2d 1221, 1222 (Fla. 3d DCA 1995); Burton v. Linotype Co., 5…

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