W. W. GAY MECHANICAL CONTRACTORS, INC., APPELLANT,
v.
B. J. CASE, A GENERAL PARTNER, ET AL., APPELLEES
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A subcontractor sought a mechanic's lien against a building owner and general lessee after the prime contractor failed to pay for refrigeration installation work. The court affirmed summary judgment for the defendants, holding that the subcontractor's failure to provide timely notice to the owner under Florida's mechanic's lien statute barred the lien claim, particularly where the owner had already fully paid the prime contractor.
The subcontractor is not entitled to a mechanic's lien against the owner or lessee. The failure to provide timely 45-day notice to the owner, as required by Florida Statute 713.06(2)(a), is fatal to the lien claim where the owner has already fully paid the prime contractor and no funds remain to be impounded. The court will not create a fictitious fund to satisfy the subcontractor's claim.
[1] A subcontractor not in privity with the owner must provide the owner with a 45-day notice to impound funds that would otherwise be paid to the contractor.
[2] Failure to provide timely notice to the owner under the mechanic's lien statute precludes a subcontractor from recovering from the owner when the owner has already paid t…
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Join FLexlaw to unlock all legal intelligence“the purpose of the notice to the owner served by one not in privity with the owner is to impound money that would otherwise be paid to the contractor.”
Explains the statutory purpose of the 45-day notice requirement in mechanic's lien law
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Join FLexlaw to unlock all legal intelligenceG.H.C. Properties, Ltd. (a limited partnership) contracted to construct a store building for lease to Food Fair, Inc. Food Fair hired Evans Heating an…
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The subject matter of this controversy is a claim by subcontractor, W. W. Gay Mechanical Contractors, Inc., for a mechanic’s lien pursuant to Chapter 713, Florida Statutes, F.S.A.
G.H.C. Properties, Ltd., a limited partnership, entered into an agreement to construct a store building and lease same to Food Fair, Inc. The lease contained a provision wherein G.H.C., the landlord covenanted with Food Fair that the storage boxes, electrical installation, sprinklers, plumbing, sewage systems, air conditioning, etc., installed on the premises would be in good working order at the commencement of the term. By mutual agreement, the parties modified the foregoing provision in that Food Fair agreed to and did install all refrigeration equipment and other mechanical installations. Food Fair hired Evans Heating and Air Conditioning Company to install the refrigeration equipment including freon lines, cooling coils, and remote unit (compressors) on the second floor. Evans Heating and Air Conditioning Co. employed Gay as a subcontractor to install the refrigerated display cases, compressors, condensers, and the piping connecting same. Food Fair paid its contractor, Evans Heating and Air Conditioning Co., for the refrigeration installation. Evans did not pay its subcontractor, Gay. A claim of lien was filed by Gay seeking to recover from Food Fair and G.H.C. The trial *571judge entered a summary judgment in favor of G.H.C. and Food Fair; hence this appeal by Gay.
The primary point posed by Gay on appeal is that the trial judge erred in holding that Gay was not entitled to a lien on the freehold and leasehold of the appellees.
The principal argument advanced by Gay is conceding that Food Fair, Inc., paid its contractor, Evans Heating and Air Conditioning Co., for work performed by Gay, the sums so disbursed were not properly paid out, pursuant to applicable provisions 1 of the mechanic’s lien law; thus it follows that these sums should be available to satisfy Gay’s claim. Further, even if such disbursements were “properly paid” it was incumbent upon Food Fair to retain 10 per cent (10%) of the contract price or the “larger” of the last payment due.2 Gay concedes that he did not give the 45-day notice called for by F.S. 713.06(2) (a), F. S.A., but contends that such time is not important since no sums were “properly” paid by the owner.
In construing the 45-day notice statutory provision, this court held in Trowbridge, Inc. v. Hathaway, 226 So.2d 35 (1 Fla.App.1969), that the “purpose of the notice to the owner served by one not in privity with the owner is to impound money that would otherwise be paid to the contractor.” Gay was not in privity with Food Fair; obviously, it was looking to Evans for payment, for it did not timely avail unto itself the benefits of the 45-day statute. Gay had the opportunity to timely place Food Fair upon notice and to impound those sums due to Evans; this Gay did not do and it is not now at liberty to call upon Food Fair to pay twice for the refrigeration installation.
The Supreme Court in discharging certiorari in Trowbridge3 observed that in Crane Co. v. Fine, 221 So.2d 145 (Fla.1969), “ . . . the record revealed that despite late service of the statutory forty five day notice, . . . the owner still retained funds due the general contractor.” Such fact is not present here, for undisput-edly there are no funds remaining in the hands of Food Fair, it having already paid Evans in full for all services performed. We decline to establish a fictitious fund as urged by Gay.
The judgment appealed is affirmed.
JOHNSON, J., and NESBITT, Associate Judge, concur.
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Peninsular Supply Co. v. C.B. DAY Realty OF Fla., Inc., 423 So. 2d 500 (Fla. 3d DCA 1982)…. 2d at 149. The purpose of the Mechanics’ Lien Law is to prevent an owner from being obligated to pay for an improvement more than once. Morgan v. Goodwin, 355 So. 2d 217, 218 (Fla. 1st DCA 1978); W.W. Gay Mechanical Contractors, Inc. v. B.J. Case, 275 So. 2d 570 (Fla. 1st DCA 1973). It was not intended, nor shall we interpret it to permit an unjust enrichment. The complaint alleges that plaintiff furnished materials and supplies which were incorporated into appellees’ construction project; that there was a…
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Morgan v. Haywood Goodwin, 355 So. 2d 217 (Fla. 1st DCA 1978)…om having to pay twice for the same labor or material by allowing him to impound money which would otherwise be paid the contractor. Bryan v. Owsley Lumber Co., 201 So. 2d 246, 249 (Fla. 1st DCA 1967); W. W. Gay Mechanical Contractors, Inc. v. Case, 275 So. 2d 570 (Fla. 1st DCA 1973). The statute’s unstated rationale for exempting laborers from the notice requirement is that an individual laborer will not work long without pay and consequently will not have a large hidden claim. In this case, Goodwin worked o…
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Cont'l Cas. Co. & Saul J. Morgan Enters., Inc. v. Associated Plastics, Inc., 347 So. 2d 822 (Fla. 3d DCA 1977)…) on notice in accordance with the above statute and the owners having paid Klein Painting all funds due under the subcontract, they should not be required to pay twice for the paint supplied thereunder. Cf. Gay Mechanical Contractors, Inc. v. Case, 275 So. 2d 570 (Fla. 1st DCA 1973). We also find that Associated is equitably estopped to foreclose its lien. The record demonstrates that although Associated knew of Klein’s financial difficulties, it not only extended Klein credit, it filed a false partial rele…
Previewing 3 of 4 citing cases — full citator treatment, depth of discussion, and citing context are member features.
Join FLexlaw to unlock all legal intelligenceAuthorities Cited
- Crane Co. v. Fine, 221 So. 2d 145 (Fla. 1969)
- Hars v. State Attorney FOR the Seventh Jud. Cir. of Fla., 233 So. 2d 129 (Fla. 1970)
- Barber v. State, 226 So. 2d 35 (Fla. 1st DCA 1969)