[CLC-Discussion] 553.84 damages

Thu Jun 9 10:32:32 PDT 2022

So just continuing to wax philosophically on this, but from the other side, an owner has a duty to mitigate damages and, in the current environment where material and labor costs are increasing, shouldn’t the owner mitigate damages by making repairs as of the date the breach was found and not wait until trial, such that an award of current costs may reward the owner for not mitigating damages?

Lee A. Weintraub
Shareholder
Board Certified in Construction Law
Chair, Public Private Partnerships Practice Group
Vice Chair, Construction Law and Litigation Practice Group
Becker & Poliakoff
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Subject: [CLC-Discussion] 553.84 damages

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I’m interested in others’ thoughts on this.

We know two things about breach of contract damages under Grossman Holdings: (1) that they are to be measured as of the time of the breach (Jeremy Stewart Constr., Inc. v. Matthews, 324 So. 3d 41 (Fla. 1st DCA 2021)) – with interest accruing since that time; and (2) that they are limited to diminution in value if the cost to correct would be “unreasonable economic waste.” --- BUT – what about damages under 553.84? Since the building code has the force of law, and is for the purposes of life safety, etc., wouldn’t damages for a 553.84 claim have neither of those constraints? I.e. wouldn’t they, for public policy reasons, be measured by the current cost to correct and not be limited by the economic waste constraint because the law requires their correction?

I can find zero cases or other authorities that even touch this point.

Thoughts from this august group?  Am I Don Quixote here?

Bruce Partington | Shareholder
bpartington at clarkpartington.com<mailto:bpartington at clarkpartington.com> | (850) 432-1399<callto:(850)%20432-1399>

CLARK PARTINGTON
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