DON K. JURAVIN
v.
DCS REAL ESTATE INVESTMENTS, LLC, AND THE CLUB AT BELLA COLLINA

Fla. 5th DCA | 2022-05-17
No. 22-1058
Florida District Court of Appeal, Fifth District (2022)

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Holding

When an insurer declares insolvency and enters receivership, an automatic and mandatory six-month stay of all proceedings applies under section 631.67, Florida Statutes, regardless of whether the insurer is a named party to the lawsuit.


Headnotes

[1] The stay of proceedings mandated by section 631.67, Florida Statutes, applies when an insurer declares insolvency and enters receivership and is obligated to defend a par…

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Key Quotes

“the six-month stay (from the February 25, 2022 insolvency order) provided by the statute prohibits continuation of these judicial proceedings so long as Juravin's insurer remains obligated to provide a defense”

Court's reasoning for granting the writ of prohibition

Facts & Procedural History

Juravin's insurer declared insolvency and entered receivership. The trial court refused to stay the underlying lawsuit because the insurer was not a n…

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Opinion of the Court

PER CURIAM.

Don K. Juravin petitions this Court for a writ of prohibition, challenging the trial court’s refusal to stay the underlying proceedings despite the declaration of insolvency obtained and filed by Juravin’s insurer. It is undisputed that the insurer has declared insolvency and has entered receivership, and that the trial court has refused to stay the proceedings

“because the insurer is not a named party to the lawsuit.” This was error.

Section 631.67, Florida Statutes (2021), provides that all proceedings in which an insolvent insurer is a party or is obligated to defend a party shall be stayed for six months. This Court has previously held that the stay provided for in section 631.67 is both automatic and mandatory, and that the stay must be to the entire proceeding. Halili v. Radiation Oncology

Consultants, P.A., 820 So. 2d 415, 416–17 (Fla. 5th DCA 2002) (citing Jimmy

Lang’s Auto Serv. v. Proctor, 667 So. 2d 334 (Fla. 1st DCA 1995)). We agree with Juravin that the six-month stay (from the February 25, 2022 insolvency order) provided by the statute prohibits continuation of these judicial proceedings so long as Juravin’s insurer remains obligated to provide a defense.

PETITION GRANTED.

EVANDER, HARRIS and SASSO, JJ., concur.


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