ELENA SALAME BUTO, APPELLANT,
v.
SIRIUS INTERNATIONAL INSURANCE COMPANY, APPELLEE
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Elena Salame Buto, a Honduran resident, sued Sirius International Insurance Company in Florida for failing to pay her medical expenses incurred during hospitalization in Miami. The trial court dismissed for lack of personal jurisdiction, but the appellate court reversed, finding that Sirius's breach of its insurance contract in Florida, combined with a contractual submission to U.S. court jurisdiction, satisfied the requirements for personal jurisdiction.
The court held that Sirius's breach of its insurance contract in Florida (by failing to pay medical providers located in Florida where the cause of action accrued) provided an independent basis for personal jurisdiction under Florida's long-arm statute, satisfying the jurisdiction requirement. The contractual waiver of jurisdiction further supported the exercise of jurisdiction.
[1] A contractual provision agreeing to submit to the jurisdiction of a United States court in the event of a dispute concerning payment of medical costs is sufficient to est…
[2] A foreign corporation may be subjected to Florida jurisdiction based on an independent basis for personal jurisdiction, such as breaching a contract in the state by faili…
Previewing 2 of 4 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“An independent basis for personal jurisdiction under the long-arm statute is breaching a contract in this state by failing to perform acts required by a contract.”
Establishes the legal standard for jurisdiction based on contract breach under Florida's long-arm statute.
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Join FLexlaw to unlock all legal intelligenceButo, a Honduras resident, became ill while visiting Miami and incurred medical expenses for hospitalization treatment. She was insured under a health…
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PER CURIAM.
Elena Salame Buto (“Buto”) appeals an order dismissing her complaint against Sirius International Insurance Company (“Sirius”) for lack of personal jurisdiction. We reverse.
Buto, a resident of Honduras, became ill while visiting in Miami, Florida, and incurred medical expenses for treatment during hospitalization. Buto was insured under a health insurance policy from Sirius, a Swedish company, and filed a claim for her medical expenses. When Sirius failed to pay the expenses, Buto brought suit in Miami, Florida, under the following provision in the Certificate of Insurance which states that any disputes concerning payment of medical costs would be litigated in a United States Court. The provision states:
6. SERVICE OF SUIT — It is agreed that in the event of the failure of the Company to pay any amount claimed to be due hereunder, at the request of the Insured Person, will submit to the jurisdiction of a Court of competent jurisdiction within the United States. Nothing in this clause constitutes or should be understood to constitute a waiver of the Company’s rights to commence an action in a court of competent jurisdiction in the United States, to remove an action to a United States District Court, or to seek a transfer of a case to another court as permitted by the laws of the United States or of any state in the United States. In any such suit against the Company upon this agreement, the Company will abide by the final decision of such Court or of any Appellate Court in the event of an appeal.
Sirius responded by filing a motion to dismiss for lack of personal jurisdiction. The trial court dismissed the case, finding that a foreign corporation cannot be subjected to Florida jurisdiction based solely on a contract provision but must have an independent basis for personal jurisdiction to attach. See C.R. McRae v. J.D./M.D., Inc., 511 So. 2d 540 (Fla.1987).
An independent basis for personal jurisdiction under the long-arm statute is breaching a contract in this state by failing to perform acts required by a contract. § 48.193(l)(g), Fla. Stat. (2000). Here, Sirius breached its own contract when it failed to pay the medical providers in Florida, where the cause of action accrued. See Alexander Proudfoot Co. World Headquarters L.P., Inc. v. Thayer, 877 F. 2d 912 (11th Cir.1989). That was sufficient to subject Sirius to personal jurisdiction in Florida. See Desai Patel Sharma Limited v. Don Bell Ind., Inc., 729 So. 2d 453 (Fla. 5th DCA 1999).
Because Sirius contractually waived jurisdiction and breached the contract in Florida, the jurisdiction requirement has been satisfied. Accordingly, we reverse the order dismissing Buto’s complaint.
Reversed.
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Global Satellite Commc'n Co. v. Sari Sudline and Fernand Sultan, 849 So. 2d 466 (Fla. 4th DCA 2003)…be performed in Florida. See Hartcourt, 817 So. 2d at 1070. Florida courts have consistently held that where the contract is silent as to place of payment, it is presumed to be the place of residence of the payee. See Buto v. Sirius Int’l Ins. Co., 807 So. 2d 674 (Fla. 3d DCA 2001); Harris v. Caribank, 536 So. 2d 394 (Fla. 4th DCA 1989); First Nat’l Bank of Kissimmee v. Dunham, 342 So. 2d 1021, 1022 (Fla. 4th DCA 1977)(stating “[t]he note does not mention the place of payment so it is payable at the residenc…
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Company.com, LLC v. Cindi's Rest. Corp. (S.D. Fla. 2022)…ace of residence of the payee to be the location of payment if the contract is silent as to the place of payment. See id. at 9-10 (citing Glob. Satellite Commc’n Co. v. Sudline, 849 So. 2d 466, 468 (Fla. 4th DCA 2003); Buto v. Sirius Int’l Ins. Co., 807 So. 2d 674 (Fla. 3d DCA 2001); Harris v. Caribank, 536 So. 2d 394 (Fla. 4th DCA 1989); First Nat’l Bank of Kissimmee v. Dunham, 342 So. 2d 1021, 1022 (Fla. 4th DCA 1977)). Plaintiff further submits that Defendants misinterpreted Ferenchak because the Court…
Authorities Cited
- C.R. McRAE v. J.D./M.D., Inc., 511 So. 2d 540 (Fla. 1987)
- Alexander Proudfoot Co. World Headquarters L.P. v. Thayer, 877 F.2d 912 (11th Cir. 1989)
- Costa T. Vathis v. State, 729 So. 2d 453 (Fla. 1st DCA 1999)