CHERYL HEYMANN AND JONATHAN P. HEYMANN, APPELLANTS,
v.
GINA FREE AND PAUL ANTHONY FREE, APPELLEES

Fla. 1st DCA | 2005-09-08
No. 1D04-2761
PADOVANO, J., concurs., ERVIN, J., concurs in result.
913 So. 2d 11 Florida District Court of Appeal, First District (2005) Positive Treatment
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

Cheryl Heymann ran a stop sign injuring Gina Free, and both Heymanns were liable under Florida's Dangerous Instrumentality Act. The trial court awarded the Frees attorney's fees and costs as a sanction for the Heymanns' unreasonable rejection of a settlement offer, but the appellate court reversed because the settlement proposal failed to apportion the amount between the two defendants as required by rule 1.442(c)(3).


Holding

The court held that the Frees' settlement offer was invalid because it failed to apportion the amount between the two defendants as mandated by rule 1.442(c)(3). Consequently, the trial court's award of attorney's fees and costs as a sanction for rejecting the settlement proposal must be reversed.


Headnotes

[1] A joint offer of settlement must apportion the amount and terms attributable to each party to be valid under Rule 1.442(c)(3).

[2] A settlement offer that fails to differentiate between parties, even when liability is purely vicarious, is invalid.

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Key Quotes

“the plain language of rule 1.442(c)(3) mandates that a joint proposal for settlement differentiate between the parties, even when one party's alleged liability is purely vicarious”

Establishes the binding legal standard from Lamb v. Matetzschk that controls the validity of the settlement offer at issue.

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Facts & Procedural History

Cheryl Heymann drove a car she co-owned with her husband Jonathan and ran a stop sign, injuring Gina Free. The Frees made a unified settlement offer o…

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Opinion of the Court
THOMAS, J.

THOMAS, J.

Appellee seeks clarification of this court’s opinion filed July 18, 2005. We grant Appellee’s motion, withdraw our former opinion of July 18, 2005, and substitute the following opinion in its place.

We have for review an order granting Appellees a sanction of fees and costs arising out of a rejected settlement proposal made to Appellants. Because Appellees’ settlement proposal failed to apportion the offer between Appellants, we reverse.

However, we do not address the second offer of judgment, as the parties stipulated it was a valid offer. Appellant Cheryl Heymann, Defendant below, drove her car and ran a stop sign, injuring Appellee Gina Free. Appellant Jonathan Heymann was co-owner of the car driven by his wife. Appellee Gina Free made an initial unified settlement offer of $80,000 to Appellants, who were each purportedly liable under Florida’s Dangerous Instrumentality Act. Appellants ultimately admitted liability. This offer did not attribute the amount between the parties. At the trial for damages, the jury returned a verdict of $416,101, later reduced to $356,932.

The trial court granted attorney’s fees and costs in the amount of $115,000 to Appellees as a sanction for Appellants’ unreasonable rejection of the settlement proposal.

The Florida Supreme Court has held “the plain language of rule 1.442(c)(3) mandates that a joint proposal for settlement differentiate between the parties, even when one party’s alleged liability is purely vicarious.” Lamb v. Matetzschk, 906 So. 2d 1037, 1042 (Fla.2005). Here, Appellees’ initial unified offer of $80,000 to both Appellants did not state “the amount and terms attributable to each party” as required by rule 1.442(c)(3). Therefore, we are constrained by Lamb to reverse the award of attorney’s fees and costs.

However, we agree with Chief Justice Pariente’s specially concurring opinion in Lamb which notes that requiring a unified offer of judgment to apportion fault between equally liable defendants may not promote settlements. Lamb, 906 So. 2d 1037, 1042. In our view, the facts of this case demonstrate that the invalidation of such offers will discourage settlements. Such a result is contrary to the legislative intent to encourage settlements through offers of judgment, as clearly expressed in section 768.79, Florida Statutes. There appears to be “no rational method to apportion fault” in cases involving equally liable defendants and a single plaintiff. Lamb, 906 So. 2d at 1044 (Pariente, C.J., concurring) (quoting Barnes v. Kellogg Co., 846 So. 2d 568, 571 (Fla. 2d DCA 2003)).

As noted by the Chief Justice and two concurring Justices, Florida Rule of Civil Procedure 1.442 may, in fact, discourage such settlements.

We respectfully submit that the Florida Supreme Court should consider whether rule 1.442 should be amended to align with the legislative intent and to better state the requirements for a valid offer of judgment. A rule of procedure cannot alter, amend or eliminate an entitlement to an award of attorney’s fees authorized in Section 768.79, Florida Statutes. See In Re Amend. To Fla. Rules of Civ. Proc., 682 So. 2d 105, 106 (Fla.1996) (Florida Supreme Court rejected proposed amendment which would allow trial courts to determine “entitlement” to fees where Legislature established entitlement as matter of substantive law).

In our view, the result in this case implicates the separation of powers clause in Article II, Section 3 of the Florida Constitution. Such a result will deprive Ap-pellees of a significant attorney’s fee award based on a requirement of rule 1.442 that is not contained in section 768.79, Florida Statutes.

However, because we are constrained by Lamb, we reverse the award of attorney’s fees and costs.

REVERSED and REMANDED.

PADOVANO, J., concurs.

ERVIN, J., concurs in result.


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Citator

Cited By

  • Wood v. Fla. Rock Indus. & Crawford & Co., 929 So. 2d 542 (Fla. 1st DCA 2006)
    …n of the time spent providing services, and the amount an attorney might normally charge for similar services, in determining a reasonable attorney fee.1 However, rules can never create or alter a litigant’s substantive rights. See Heymann v. Free, 913 So. 2d 11 (Fla. 1st DCA 2005). The Rules of Professional Conduct relate only to an evaluation of the maximum fee an attorney may collect as reasonable without facing possible discipline. They do not trump substantive rights created by the legislature. Accepta…
  • Graham v. The Peter K. Yeskel 1996 Irrevocable Tr., 928 So. 2d 371 (Fla. 4th DCA 2006)
    …gnize that the supreme court has adopted a bright line rule requiring apportionment under rule 1.442(c)(3). That the Grahams made their joint proposal for settlement as tenants by the entireties does not alter the bright line rule. Heymann v. Free, 913 So. 2d 11 (Fla. 1st DCA 2005), held that attorney’s fees were not awardable where a single plaintiff made a proposal for settlement to multiple defendants, because “the [plaintiffs] settlement proposal failed to apportion the offer between [defendants].... ”…
  • …rney).2 The attorneys’ argument that the question of costs is controlled by a retainer agreement envisioned by the rules regulating the Florida Bar is without merit. Rules “cannot alter, amend or eliminate” a substantive right. See Heymann v. Free, 913 So. 2d 11, 12 (Fla. 1st DCA 2005). Section 440.34(1), Florida Statutes, mandates that the retainer agreement not provide “for compensation [as to fees and costs] in excess of the amount allowed under this section.” Thus, a retainer agreement in a workers’ com…

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