BALLARD-CANNON DEVELOPMENT CORPORATION, A FLORIDA CORPORATION, A. BOWEN BALLARD, AND SHANE L. CANNON, APPELLANTS,
v.
SANDMAN PROPERTIES AND DEVELOPMENT, LLC, A FLORIDA LIMITED LIABILITY CORPORATION, AND MERCER WILLIAMS, JR., APPELLEES
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Ballard-Cannon Development Corporation appealed a directed verdict dismissing its breach of oral contract claim on statute of frauds grounds. The court affirmed, finding the contract could not be performed within one year, thus making it unenforceable under Florida's statute of frauds.
The oral contract was unenforceable under Florida's statute of frauds because it could not be performed within one year. Although the trial court's reasoning that an interest in land would be transferred was incorrect, the directed verdict was properly entered on the alternative ground that the contract's performance extended beyond one year.
[1] An oral agreement to form a partnership or joint venture for the purpose of buying and selling real estate, sharing profits and losses, is not within the statute of fraud…
[2] An oral contract is within the statute of frauds if the object to be accomplished and the surrounding circumstances clearly indicate the parties intended its performance…
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“A contract between two persons to go into the business of buying and selling real estate as partners or as joint adventurers, sharing profits and losses thereof, is not within [Section 725.01, Florida Statutes] unless there is a provision for transfer of specific land from one party to the other.”
Establishes the distinction between oral contracts requiring transfer of specific land versus partnerships for real estate development, which are not subject to the statute of frauds.
Previewing 1 of 3 key quotes on this case — the court’s exact language, pinpointed for members.
Join FLexlaw to unlock all legal intelligenceB-C entered into an oral contract with Appellees regarding a real estate development project. All parties intended to be involved with the project thr…
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PER CURIAM.
Ballard-Cannon Development Corporation (“B-C”) appeals a directed verdict that found its purported oral contract with Appellees unenforceable under Florida’s statute of frauds. See § 725.01, Fla. Stat. (2005). Appellees argue B-C waived its breach of contract argument when it acquiesced to the dismissal of that count in order to proceed, by way of its election of remedies, to a judgment on a separate count in its complaint. As the trial court correctly found the oral agreement unenforceable under the statute of frauds, we need not decide the waiver issue.
Directing a verdict, the trial court found the oral contract called for a transfer of an interest in land and could not be performed within one year. See id. Contrary to the court’s ruling, an interest in land would not have been transferred between the parties under the contract. See Russell v. Thielen, 82 So. 2d 143, 146 (Fla. 1955) (“ ‘A contract between two persons to go into the business of buying and selling real estate as partners or as joint adventurers, sharing profits and losses thereof, is not within [Section 725.01, Florida Statutes] unless there is a provision for transfer of specific land from one party to the other.’ ” (quoting 2 Corbin on Contracts § 418)); see also McCloud v. Davison, 719 So. 2d 995, 997 (Fla. 5th DCA 1998) (“An oral agreement between two or more persons to go into the business of buying and selling real estate as partners or as joint venturers and sharing profits and losses from it, is not within the purview of the Statute of Frauds.... ”); Blynn v. Hirsch, 124 So. 2d 314, 315 (Fla. 3d DCA 1960) (“A distinction is generally recognized between an oral contract which by its terms provides for transfer of specific land from one party to the other, and one which has as its subject matter an agreement between the contracting parties to procure an estate from a person or persons not parties to the contract. The first is rendered unenforceable by the statute; the second is not.”).
We affirm, however, on the finding that the contract could not be performed within a year. Viewing the evidence in a light most favorable to the non-moving party, B-C, all parties intended to be involved with a real estate development project through its completion. See Collier v. Brooks, 632 So. 2d 149, 154 (Fla. 1st DCA 1994) (“ ‘[W]hen no time is agreed on for the complete performance of the contract, if from the object to be accomplished by it and the surrounding circumstances, it clearly appears that the parties intended that it should extend for a longer period than a year, it is within the statute of frauds, though it cannot be said that there is any impossibility preventing its performance within a year.’” (quoting Yates v. Ball, 132 Fla. 132, 181 So. 341, 344 (Fla. 1937))).
B-C’s own witnesses testified that it intended to be involved with the development of the project and that the project would take well over a year to complete.
Finally, as the evidence presented at trial was undisputed concerning B-C’s intentions, the trial judge properly ruled on the issue of intent as a matter of law. See Khawly v. Reboul, 488 So. 2d 856, 858 (Fla. 3d DCA 1986) (affirming directed verdict on a statute of frauds question because record “convinces [the court] that the parties intended to establish an ongoing concern, to extend well beyond a year”); see also Doran Jason Co. v. Lou, 868 F. 2d 1547, 1550 (11th Cir.1989) (finding trial court correctly decided the issue of intent as a matter of law).
AFFIRMED.
KAHN, C.J., and ERVIN and VAN NORTWICK, JJ., concur.
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DK Arena, Inc. v. EB Acquisitions I, LLC, 31 So. 3d 313 (Fla. 4th DCA 2010)…rauds, where the agreement contemplated the parties’ involvement in a real estate development project through its completion, and where the project would take well over a year to complete. Ballard-Cannon Dev. Corp. v. Sandman Properties & Dev., LLC, 933 So. 2d 1251, 1252 (Fla. 1st DCA 2006). The proposed joint venture was for a complex $250,000,000 real estate project with 1500 residential units and about 350,000 square feet of commercial space. With an equity interest in the project, Don King was to assist in…
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Browning v. Poirier, 113 So. 3d 976 (Fla. 5th DCA 2013)…, LynkUs Commc’ns, Inc. v. WebMD Corp., 965 So. 2d 1161 (Fla. 2d DCA 2007) (holding that oral agreement to establish new business to continue indefinitely is barred by the statute of frauds); Ballard-Cannon Dev. Corp. v. Sandman Prop. and Dev., LLC, 933 So. 2d 1251 (Fla. 1st DCA 2006) (holding that action on development contract was barred by statute of frauds, where developer’s own witnesses acknowledged that development of project would take well over a year to complete); Hosp. Corp. of Am. v. Assocs. in Ado…
Authorities Cited
- Yates v. Ball, 132 Fla. 132 (Fla. 1937)
- Collier v. Bolling Brooks, 632 So. 2d 149 (Fla. 1st DCA 1994)
- Khawly v. Evelyne Reboul and Jean Claude Reboul, 488 So. 2d 856 (Fla. 3d DCA 1986)
- Gator Shoe Corp. & Gallagher Bassett Ins. Servs. v. Doriela Taborda, 488 So. 2d 856 (Fla. 1st DCA 1986)
- Russell v. Thielen, 82 So. 2d 143 (Fla. 1955)
- Danelia Gomez v. Gomez (Fla. 3d DCA 2023)
- Mosley v. Mosley, 124 So. 2d 314 (Fla. 1st DCA 1960)
- McCLOUD v. Davison, 719 So. 2d 995 (Fla. 5th DCA 1998)
- The Doran Jason Co. OF Miami, Inc. v. Nils LOU, 868 F.2d 1547 (11th Cir. 1989)