BAY PRODUCTS CORPORATION, D/B/A TIFFANY MOTOR CARS, APPELLANT,
v.
DR. RICHARD WINTERS, APPELLEE
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The appellate court affirmed the denial of a motion to vacate a default judgment, finding service valid, but reversed a partial final judgment due to insufficient well-pleaded facts to support the relief granted.
The appellate court held that service on the corporation was valid and affirmed the denial of the motion to vacate the default judgment, but reversed the partial final judgment because the relief granted was not supported by well-pleaded facts.
[1] Service of process upon a corporation is valid if effectuated in accordance with the relevant statutory provisions.
[2] The granting or denial of relief from a default judgment rests within the sound judicial discretion of the trial judge.
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PER CURIAM.
Appellant, defendant below, takes an interlocutory appeal from two orders of the lower court, dated May 19, 1976. The first order denied appellant’s motion to vacate a default which was entered against it on May 4, 1976. The second order granted a partial final judgment in favor of appellee, plaintiff below.
Appellee ordered an antique automobile kit from appellant. Appellee, after tendering full payment to appellant, allegedly did not receive a full and complete kit. After unsuccessful attempts to rectify the situation, appellant filed a three count complaint. Count I sought specific performance of the contract through the delivery of whatever additional parts allegedly were missing. Count II alternatively sought damages in the sum of the original contract price. Count III was grounded in fraud and deceit and sought both compensatory and punitive damages.
On April 9, 1976, service of summons and complaint was had upon appellant. On May 4, 1976, a default judgment was entered. On May 11, 1976, appellant filed its motion to set aside the default along with an answer, affirmative defenses and affidavit of its corporate president alleging excusable neglect. The motion was denied and partial summary judgment was subsequently entered on May 19, 1976.
From the above orders, denying appellant’s motion to set aside the default and granting appellee’s motion for partial final summary judgment, this interlocutory appeal follows.
Appellant’s first basic contention is that the lower court abused its discretion in denying appellant’s motion to vacate the default judgment. Inherent in appellant’s contention is the claim that service on the corporation was in violation of Section 48.-081, Florida Statutes (1975), and as a result of this allegedly improper service, the papers were misplaced and were only rediscovered subsequent to the entrance of the default. Appellant’s president, by way of affidavit filed in support of appellant’s motion to vacate the default, stated that upon his later discovery of the papers, he diligently sought the aid of an attorney who thereupon filed the aforementioned motion to set aside the default. Appellant argues that because of the improper service and its diligent, though untimely, attempt to correct the situation, the lower court erred in refusing to set aside the default.
Initially, after reviewing the aforementioned corporate service statute, Section 48.081, Florida Statutes (1975), we hold that service was validly effectuated upon appellant-corporation. In addition, it has long been the law and we have recently so held that the granting of relief from a default rests in the sound judicial discretion of the trial judge. Acme Fast Freight, Inc. v. Bell, 318 So. 2d 212 (Fla.3d DCA 1975). Our Supreme Court has stated that:
“The exercise of discretion by a trial judge who sees the parties first-hand and is more fully informed of the situation, is essential to the just and proper application of procedural rules. In the absence of facts showing an abuse of that discretion, the trial court’s decision . must be affirmed.” Farish v. Lum's Inc., 267 So. 2d 325 (Fla.1972).
We find no such facts evidencing any abuse of discretion on the part of the trial judge and therefore we affirm his decision denying appellant’s motion to set aside the default.
On the other hand, there is merit in appellant’s contention that the trial judge erred in entering a partial final judgment in favor of appellee. The judgment entered by the trial judge awarded appellee the specific performance relief prayed for in Count I of its complaint, or, in the alternative, damages in the sum of the purchase price of the automobile kit, as sought in Count II. Additionally, the partial final judgment ordered that a hearing be held to determine any compensatory and punitive damages to be awarded in accordance with Count III, fraud and deceit.
We believe that in so ordering, the trial judge violated Fla.R.Civ.P. 1.500, Defaults and Final Judgments Thereon, 31 Fla.Stat.Ann. 12 (1967), in that Count I did not state a cause of action for specific performance under Florida law, nor did Count III state a cause of action for fraud and deceit.
Florida law is such that despite the entrance of a default judgment against a defendant, only well-pleaded facts are admitted as true and only relief sought under those well-pleaded facts may be awarded to a plaintiff. Williams v. Williams, 227 So. 2d 746 (Fla.2d DCA 1969); see also 19 Florida Jurisprudence § 301, Pleadings (1958). For a valuable discussion of this principle of law, see Nishimatsu Construction Co., Ltd. v. Houston National Bank, 515 F. 2d 1200 (5th Cir. 1975), wherein the court, interpreting Federal Rule 55, the counterpart of Florida Rule 1.500, stated, inter alia, that:
“The defendant is not held to admit facts that are not well-pleaded or to admit conclusions of law . . [and] On appeal, the defendant, although he may not challenge the sufficiency of the evidence, is entitled to contest the sufficiency of the complaint and its allegations to support the judgment.” Supra, at 1206.
In addition, we find that in alternatively awarding appellee the full contract price, the court in effect deprived appellant of its right to present evidence in mitigation of the damages. We note that the pleadings and briefs allege that only a portion of the kit was not delivered. As such, we believe that a hearing should be held to determine appellee’s actual damages. See Robbins v. Thompson, 291 So. 2d 225 (Fla.4th DCA 1974).
Accordingly, after considering the record, all points in the briefs and arguments of counsel in the light of the controlling principles of law, we conclude that reversible error has been demonstrated. Therefore, for the reasons stated and upon the authorities cited, the order of partial final judgment is vacated and set aside and the cause remanded for further proceedings not inconsistent with this opinion. The order denying appellant’s motion to vacate the default is affirmed.
Affirmed in part; reversed and remanded in part.
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Abrams v. Paul, 453 So. 2d 826 (Fla. 1st DCA 1984)…f the declaration do not form a legal basis for the judgment recovered, it will be reversed on appeal. See 6 Ency.Pl. & Pr. 118. (Emphasis added.) Appellees explicitly agree with appellants on this proposition, citing Bay Products Corp. v. Winters, 341 So. 2d 240 (Fla. 3d DCA 1976), and fully defend the merits of the amended complaint. These decisions clearly establish that the entry of a default judgment against a defendant admits as true only well-pled facts, not forced inferences and conclusions, and that…1 / 2
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Hooters OF Am., Inc. v. Carolina Wings, Inc., 655 So. 2d 1231 (Fla. 1st DCA 1995)….540(b), but this argument was never presented. As indicated by the majority, a default judgment may only award such relief as is supported by the complaint. See Freeman v. Freeman, 447 So. 2d 963 (Fla. 1st DCA 1984); Bay Products Corp. v. Winters, 341 So. 2d 240 (Fla. 3d DCA 1976). But, as also recognized by the majority, in the absence of fundamental or jurisdictional error, we will not entertain an argument which should have been, but was not, presented to the trial court. Abrams v. Paul, 453 So. 2d 826,…1 / 2
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Join FLexlaw to unlock all legal intelligenceAuthorities Cited
- Nishimatsu Constr. Co., Ltd. v. Houston Nat'l Bank, 515 F.2d 1200 (5th Cir. 1975)
- Farish v. Lum's, Inc., 267 So. 2d 325 (Fla. 1972)
- Petti v. State, 227 So. 2d 746 (Fla. 4th DCA 1969)
- Acme Fast Freight, Inc. v. Bell, 318 So. 2d 212 (Fla. 3d DCA 1975)
- Robbins v. Thompson, 291 So. 2d 225 (Fla. 4th DCA 1974)