ARNOLD OPER, APPELLANT,
v.
AIR CONTROL PRODUCTS, INC. OF MIAMI, A FLORIDA CORPORATION, APPELLEE
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A medical doctor (Oper) appealed a garnishment judgment denying his third-party claim to insurance proceeds owed to a debtor (Collie). The court held that a judgment creditor's garnishment lien takes priority over an earlier assignment because notice to the garnishee determines priority, and the judgment creditor gave notice first.
The court affirmed the judgment for Air Control, holding that Air Control's garnishment lien takes priority because it gave notice to the garnishee first. The validity of Oper's assignment need not be determined because even if valid, it would not prevail over Air Control's superior priority. No jury trial was required because the material facts were admitted and the issues were questions of law, not fact.
“In determining the priority between these two claims, first in line as to the notice to the debtor should prevail.”
Establishes the key rule that priority in competing claims to the same fund is determined by which claimant gave notice to the garnishee first.
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Join FLexlaw to unlock all legal intelligenceCollie was injured in an auto accident and hired Oper as his doctor, executing an assignment of a portion of any personal injury recovery to pay Oper'…
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By this appeal, the appellant [a third party claimant in a garnishment proceeding] seeks review of an adverse final judgment in garnishment, which failed to recognize his third party claim. The following is found in the record on appeal:
Some time prior to May 26, 1964, the ap-pellee, Collie, was involved in an automobile accident with one Wasekanes. As a result of said accident, Collie sought the services of the appellant [a medical doctor] and in connection therewith executed what the appellant contends to be an assignment of a portion of any recovery in the personal injury action against Wasekanes or any benefits under insurance policies to which he might be entitled, in order to satisfy any such amounts as might be due the appellant and which was in the form of a letter of authorization to Collie’s attorneys.
On May 26, 1964, the appellee, Air Control Products, Inc. of Miami, [in a common law action separate and distinct from any cause of action arising out of the aforesaid personal injury matter] secured a final judgment against the appellee, Collie, in the sum of $1,049.35. On June 19, 1964, Collie prevailed in his personal injury action and secured a judgment of $2,210.20. The defendant in the personal injury action, Wasekanes, was insured by Allstate Insurance Company and, subsequent to the entry of the final judgment in the common law personal injury action, the appellee, Air Control Products, Inc. of Miami, [as plaintiff and judgment creditor in the suit against Collie] instituted garnishment proceedings against Allstate pursuant to the provisions of Ch. 77, Fla.Stat., F.S.A. Within the time prescribed by the writ, Allstate answered and admitted there was an indebtedness payable to Collie and his attorney in the personal injury action. Pursuant to the authority found in § 77.16, Fla.Stat., F.S.A., the appellant along with others filed a third party claim in the *563garnishment proceedings. Several motions to dissolve were filed, and the appellee, Air Control, filed a motion for judgment against the garnishee. Upon hearing, the trial court established a priority as to certain claimants [not involved herein], found that the appellant did not have a valid assignment, and entered a final judgment in garnishment for the appellee, Air Control Products, Inc. of Miami. It is from this judgment that this appeal has been prosecuted. The appellant has preserved three points for review by this court:
“POINT I
“Was the assignment to Arnold Oper from Ezekiel Collie valid so as to create a priorit}"- lien in favor of appellant?
“POINT II
“Did appellee have the right to garnish the insurance company?
“POINT III
“Did the lower court err in entering its final judgment in garnishment without jury trial and without taking testimony ? ”
As to Point I, if the actions of the trial judge can be supported on any theory he will be sustained, even though the reasoning for his ruling may be erroneous. See: Cohen v. Mohawk, Fla.1962, 137 So.2d 222; Berkman v. Miami National Bank, Fla.App.1962, 143 So.2d 535; Tri-County Produce Distributors, Inc. v. Northeast Production Credit Association, Fla.App.1963, 160 So.2d 46. It is admitted, from this record, that no notice was given to the defendant in garnishment and that the first notice it had of the respective claims of the parties was when it was served with the writ as to Air Control and when it was served with a copy of third party claim as to the appellant. It appears that the appellant, if he had an assignment, received his in fact and that the appellee, Air Control, received its right by operation of law to the identical fund, to wit: indebtedness due by Allstate through Wase-kanes to Collie. In determining the priority between these two claims, first in line as to the notice to the debtor should prevail. In this connection, see: Boulevard National Bank of Miami v. Air Metal Industries, Inc., Fla.App.1965, 174 So.2d 559 (opinion filed February 2, 1965). In any event, finding that Air Control’s right would be superior to the appellant’s purported assignment, we do not need to determine the validity of the assignment because, even if it was valid, it would not prevail over one first in point of time as to notice.
As to Point II, clearly the defendant in garnishment, Allstate, was indebted to Collie upon the rendition of the final judgment in the personal injury action [as the insurance carrier of the defendant therein], and the funds it held for the account of Collie were subject to garnishment by the appellee, Air Control.1
Point III was the right of the appellant to have a jury trial pursuant to the provisions of § 77.16, Fla.Stat.,2 F.S.A. From *564the very wording of the statute, if the trial judge found “good cause to the contrary”, there was no need for a jury trial.
The material facts in this cause were admitted. The principal issues before the trial judge were the validity of the assignment and the priority of the claims, both of which were questions of law and not of fact. Therefore, no error has been demonstrated in failing to have a jury trial.
For the reasons stated above, no error has been made to appear in the ultimate effect of the trial judge’s final judgment in garnishment here under review, and same is hereby affirmed.
Affirmed.
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Citator
Cited By
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Tavormina v. Aquatic Co., 65 B.R. 602 (S.D. Fla. 1986)
-
Hattaway v. McMillian, 859 F. Supp. 560 (N.D. Fla. 1994)
Authorities Cited
- Poole v. The Travelers Ins. Co., 130 Fla. 806 (Fla. 1937)
- Cohen v. Mohawk, Inc., 137 So. 2d 222 (Fla. 1962)
- Pleasant Valley Farms & Morey Condensery Co. v. Carl, 90 Fla. 420 (Fla. 1925)
- Tri-County Produce Distribs., Inc. v. Ne. Prod. Credit Ass'n, 160 So. 2d 46 (Fla. 1st DCA 1963)
- Berkman v. Miami Nat'l Bank, 143 So. 2d 535 (Fla. 3d DCA 1962)
- Reaves v. Dom. Fin. Co., 113 Fla. 672 (Fla. 1934)
- Standard Accident Ins. Co. v. Glenwood Hancock, 124 Fla. 725 (Fla. 1936)
- Boulevard Nat'l Bank OF Miami v. AIR Metal Indus., Inc., 174 So. 2d 559 (Fla. 3d DCA 1965)