MAY ARNO, APPELLANT,
v.
HOTEL ATLANTIS, INC., A FLORIDA CORPORATION, A/K/A ATLANTIS HOTEL, INC.; ATLANTIS OPERATING CO., INC., A FLORIDA CORPORATION; MAX LESHNICK; ARTHUR H. BANT; IRVING PODOLNICK AND CLAIRE LESHNICK, APPELLEES
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.
A mortgagee of a leasehold interest sought to foreclose and compel the lessor to account for and restore a substantial security deposit allegedly misused by the lessor. The trial court granted the lessor's motion to dismiss, and the appellate court affirmed, holding that the mortgagee could not join the lessor in a foreclosure action due to a lease provision prohibiting mortgage of the leasehold.
The appellate court affirmed the trial court's dismissal of the lessor from the action. A mortgagee of a leasehold may not join the lessor in a foreclosure proceeding when the underlying lease contains a provision prohibiting mortgage of the leasehold.
“This is a proceeding in equity by a mortgagee of a leasehold interest to foreclose, and to compel the lessor to account for and restore a substantial security deposit which the lessor was alleged to have misused and disposed of.”
Describes the nature of Arno's action and the relief sought.
Previewing 1 of 3 key quotes on this case — the court’s exact language, pinpointed for members.
Join FLexlaw to unlock all legal intelligenceArno held a leasehold interest in the Hotel Atlantis property, secured by 155 debenture bonds valued at $155,000 held by the lessor as security. Arno …
The full statement of facts, procedural history, and disposition for this case are member content.
Join FLexlaw to unlock all legal intelligence© FLexlaw, Inc. — AI-generated enrichments are proprietary. All rights reserved.
Explore caselaw by topic → Browse Security Deposit cases and more on FLexlaw
Affirmed.
(concurring specially).
This is a proceeding in equity by a mortgagee of a leasehold interest to foreclose, and to compel the lessor to account for and restore a substantial security deposit1 which the lessor was alleged to have misused and disposed of. A motion of the defendant lessor to be dismissed from the cause was granted, and the appeal is from the order dismissing that defendant.
I would dissent from the majority af-firmance of the holding that the mortgagee of this leasehold, in foreclosing thereon, may not join the lessor who is alleged to have improperly disposed of the lease security deposit, as being contrary to established law, were it not for the fact (not argued in the briefs) that the lease in question contained a provision against any mortgage thereof.2 Therefore, I concur in the judgment.
CARROLL, Judge
(concurring specially).
This is a proceeding in equity by a mortgagee of a leasehold interest to foreclose, and to compel the lessor to account for and restore a substantial security deposit1 which the lessor was alleged to have misused and disposed of. A motion of the defendant lessor to be dismissed from the cause was granted, and the appeal is from the order dismissing that defendant.
I would dissent from the majority af-firmance of the holding that the mortgagee of this leasehold, in foreclosing thereon, may not join the lessor who is alleged to have improperly disposed of the lease security deposit, as being contrary to established law, were it not for the fact (not argued in the briefs) that the lease in question contained a provision against any mortgage thereof.2 Therefore, I concur in the judgment.
. “D) Lessor acknowledges that simultaneously with the execution of this lease, it has received from the Lessee one hundred fifty-five (155) debenture bonds of Atlantis Hotel, Inc., each in the face amount of One Thousand ($1,000.00) Dollars, and agrees to hold the same as security for the full and faithful performance of all of the terms, covenants and conditions of this lease by the Lessee to be kept and performed.”
. Article X of the lease, “Mutual Covenants,” included the following:
“20. The lessee shall have no right to convey or encumber by mortgage or any other instrument and for any purpose whatsoever this lease and any and all rights accruing to it hereunder.”