DR. WILLIAM KAYE, INDIVIDUALLY, AND LISA KAYE, INDIVIDUALLY, APPELLANTS,
v.
MACARI BUILDING & DESIGN, INC., APPELLEE

Fla. 4th DCA | 2007-11-14
No. 4D07-1165
WARNER and GROSS, JJ., concur.
967 So. 2d 1112 Florida District Court of Appeal, Fourth District (2007) Caution
Cited by 8 cases

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Synopsis

In this appeal, the Fourth District Court of Appeal reversed a trial court's denial of a motion to compel arbitration, holding that the parties' contract properly incorporated by reference the AIA Document No. A-201, which contained a valid arbitration clause. The court found clear language in the plans and specifications indicating the parties' intent to be bound by the arbitration provision.


Holding

The court held that the AIA Document No. A-201 was properly incorporated into the contract and that the arbitration clause within it was valid and enforceable. The trial court erred in denying the motion to compel arbitration.


Headnotes

[1] A contract may incorporate another document by reference if the incorporating document expresses an intention to be bound by the collateral document.

[2] A reference to another document within a contract is sufficient to incorporate that document when the reference explicitly states that the collateral document is made "pa…

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Key Quotes

“The doctrine [of incorporation by reference] requires that there must be some expression in the incorporating document ... of an intention to be bound by the collateral document.”

Establishes the legal standard for incorporation by reference, requiring clear intent to be bound by the collateral document.

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Facts & Procedural History

The parties entered into a construction contract that included a clause incorporating plans and specifications by reference. The plans and specificati…

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Opinion of the Court
CHUMBLEY, DOUGLAS J., Associate Judge.

CHUMBLEY, DOUGLAS J., Associate Judge.

This is an appeal from a non-final order denying a motion to compel arbitration filed below by the Appellants. On appeal, the Appellants primarily argue that the trial court erred in denying the motion to compel arbitration because the contract between the parties and the related documents clearly indicate the parties’ intent to arbitrate claims arising from the contract. The Appellee argues that the document containing the arbitration provision was not properly incorporated into or made a part of the contract between the parties and thus, the trial court correctly denied arbitration. The Appellee further supports its position by arguing that arbitration was inconsistent with other provisions of the contract and that Appellants waived their right to arbitration. Because we find that the contract and related documents clearly contain a valid arbitration provision, we reverse.

The parties agree that the contract signed by the parties contains a clause which properly incorporates the plans and specifications by reference. The parties further agree that the contract makes the plans and specifications part of the contract between the parties. The parties disagree as to whether the plans and specifications adequately incorporate a document known as AIA Document No. A-201. It is the AIA Document No. A-201 which contains an arbitration clause.

It is clear from the record before us that the plans and specifications contain what is referred to as General Notes. In fact, the General Notes were actually in and on the plans and specifications. The relevant language from the General Notes is as follows:

The American Institute of Architects Documents No. A-201, April 1997 Edition is hereby made a part of these specifications and this contract.

The General Notes contained in the plans and specifications go on to make the AIA Document No. A-201 part of the contract between the parties:

Contract Documents: Plans, Specifications, AIA Contract, Addenda and Change Orders.

The key issue before the Court is whether the AIA Document containing the arbitration provision was properly incorporated into the contract executed by the parties. This Court has previously discussed the concept of “incorporation by reference” in Kantner v. Boutin, 624 So. 2d 779 (Fla. 4th DCA 1993). In Kantner, we noted:

The doctrine [of incorporation by reference] requires that there must be some expression in the incorporating document ... of an intention to be bound by the collateral document. A mere reference to another document is not sufficient to incorporate that other document into a contract, particularly where the incorporating document makes no specific reference that it is ‘subject to’ the collateral document. Id. at 781. Here, the incorporating document is the contract which undisputedly incorporates the plans and specifications. The plans and specifications clearly indicate in the General Notes that the AIA Document No. A-201 is a part of both the plans and specifications and the contract. The reference to the AIA Document in the plans and specifications is more than a “mere reference.” The words “part of these specifications and this contract” unambiguously indicate the parties’ intention to be bound by the AIA Document as well as by the plans and specifications and the contract.

We find the Appellee’s remaining arguments to be without merit. Because we believe the contract and related documents evidence an intent to be bound by the AIA Document which contains an arbitration provision, we reverse with instructions for the trial court to enter an order compelling arbitration. We also grant Appellants’ Motion for Attorneys’ Fees. Upon remand, the trial court shall determine reasonable attorneys’ fees.

Reversed and Remanded.

WARNER and GROSS, JJ., concur.


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Citator

Cited By

  • BGT Grp., Inc. v. Tradewinds Engine Servs., LLC, 62 So. 3d 1192 (Fla. 4th DCA 2011)
    …a collateral document to create an incorporation by reference involve more detailed descriptions of the collateral document, or where the document could be found, than are present in this case. For example, in Kaye v. Macari Building & Design, Inc., 967 So. 2d 1112, 1113 (Fla. 4th DCA 2007), the collateral document was described as “The American Institute of Architects Documents No. A-201, April 1997 Edition,” an industry standard. And in Avatar Properties, Inc. v. Greetham, 27 So. 3d 764, 766 (Fla. 2d DCA 201…
  • Spicer v. Tenet Fla. Physician Servs., LLC, 149 So. 3d 163 (Fla. 4th DCA 2014)
    …rovide a specific description of them or attach them to the quote and purchase order.” Id. (emphasis added). We also concluded “it cannot objectively be said the Tradewinds agreed to be bound by them.” Id. In Kaye v. Macari Building. & Design, Inc., 967 So. 2d 1112, 1113 (Fla. 4th DCA 2007), we found an adequate incorporation by reference where the following language was used: “The American Institute of Architects Documents No. A-201, April 1997 Edition is hereby made a part of these specifications and this co…
  • …ontain North Carolina choice-of-law provisions. But in any event, after reviewing Florida and North Carolina case law, we are convinced that both states’ laws are fully consistent with J.S. & H. Construction. See Kaye v. Macari Bldg. & Design, Inc., 967 So. 2d 1112, 1113 (Fla.Dist.Ct.App.2007) (incorporation by reference applied to bind a non-signatory even though the incorporation provision did not specifically mention the arbitration clause in the incorporated document); Booker v. Everhart, 294 N.C. 146, 240…

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