HOME CONSTRUCTION MANAGEMENT, LLC, A FLORIDA LIMITED LIABILITY COMPANY, AND ABRAHAM "AVI" OMER, A FLORIDA RESIDENT, INDIVIDUALLY, APPELLANTS,
v.
COMET, INC., A FLORIDA CORPORATION, APPELLEE

Fla. 4th DCA | 2013-02-06
Nos. 4D11-4022, 4D12-21
GERBER and CONNER, JJ., concur.
125 So. 3d 221 Florida District Court of Appeal, Fourth District (2013)

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Synopsis

Home Construction Management, LLC and its representative Abraham Omer appealed a judgment awarding treble damages for unlicensed contracting services. The court affirmed most of the trial court's judgment but reversed the application of treble damages against Omer individually, finding he was not a party to the underlying contract.


Holding

Treble damages under section 768.0425 cannot be applied against Omer individually because the statute requires a person to "contract to perform" construction services, and Omer was not a party to the written contract between HCM and Comet. The judgment is affirmed as to HCM but reversed as to Omer.


Headnotes

[1] A statute providing for treble damages, being punitive in nature, must be strictly construed in favor of the party against whom the penalty is imposed.

[2] A person is not subject to treble damages under section 768.0425(1), Florida Statutes, for contracting to perform construction services if that person was not a party to…

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Key Quotes

“For the purpose of trebling damages, section 768.0425(1) separately defines "contractor" as "any person who contracts to perform any construction or building service which is regulated by any state or local law, including, but not limited to, chapters 489 and 633."”

Establishes the statutory definition of contractor that requires a person to contract to perform services

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Facts & Procedural History

Comet, Inc. hired HCM to complete construction of a single-family residence in Lantana, Florida under a written contract dated April 12, 2007. Neither…

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Opinion of the Court
STEVENSON, J.

STEVENSON, J.

Appellants Home Construction Management, LLC (“HCM”) and HCM’s representative, Abraham “Avi” Omer, appeal a final judgment and damage award for various claims relating to providing unlicensed contracting services. The appellants were contacted by the appellee, Comet, Inc. (“Comet”), to complete the construction of a single-family residence in Lantana, Florida. On April 12, 2007, Comet and HCM entered into a written contract for completion of the project. Omer represented HCM throughout the parties’ relationship, but neither HCM nor Omer was a licensed contractor. Comet sued, in relevant part, for disgorgement of overcharges and treble damages under section 768.0425(2), Florida Statutes (2007). After a bench trial, the trial court entered a final judgment on October 7, 2011, which trebled damages in the amount of $41,747.58 in overbillings, making HCM and Omer jointly and severally liable up to the damage amount of $125,242.74.

We affirm all issues but the trial court’s application of section 768.0425 against Omer individually. The question involves the interpretation of a statute and is subject to de novo review. See Tasker v. State, 48 So.3d 798, 804 (Fla.2010). For the purpose of trebling damages, section 768.0425(1) separately defines “contractor” as “any person who contracts to perform any construction or building service which is regulated by any state or local law, including, but not limited to, chapters 489 and 633.... ” The trial court specifically found that Omer was not a party to the written contract between HCM and Comet, therefore, Omer did not “contract[ ] to perform” any service as required by section 768.0425. We narrowly construe the language “person who contracts to perform” in section 768.0425(1), as treble damages are punitive and in the nature of a fine or penalty. See Country Manors Ass’n v. Master Antenna Sys., Inc., 534 So.2d 1187, 1195 (Fla. 4th DCA 1988) (noting that treble damages under the civil theft statute are punitive); McArthur Dairy, Inc. v. Original Kielbs, Inc., 481 So.2d 535, 539-40 (Fla. 3d DCA 1986) (same); see also Holmberg v. Dep’t of Natural Res., 503 So.2d 944, 947 (Fla. 1st DCA 1987) (restating well-settled Florida law that statutes imposing a penalty or fine must be construed strictly in favor of the one against whom the penalty is imposed). We reverse the portion of the judgment trebling the damage award against Omer.

Affirmed in part, reversed in part.

GERBER and CONNER, JJ., concur.


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