[CLC-Discussion] Punitive damages for fraudulent lien in the absence of actual damages?

Wed Apr 26 12:45:11 PDT 2023

Did the owner hire an attorney to defend the case and incur any fees before the lien was released?

But more broadly, I don't read the statute to require actual damages as a condition to punitive damages. If you break it apart grammatically I think that becomes clear.

If the lienor who files a fraudulent lien is not the prevailing party, the lienor shall be liable to the owner or the defrauded party who prevails in an action under this subsection in damages, which shall include

a.    court costs,

b.    clerk's fees,

c.    a reasonable attorney's fee and costs for services in securing the discharge of the lien,

d.    the amount of any premium for a bond given to obtain the discharge of the lien,

e.    interest on any money deposited for the purpose of discharging the lien, and

f.       punitive damages in an amount not exceeding the difference between the amount claimed by the lienor to be due or to become due and the amount actually due or to become due.

I don't read any of that as conditional on any other part of it. If it's conditional on what goes before, the failure to recover a bond premium would also prevent recovery of punitives, so to recover punitives you would be required to bond off the lien. I read them as a cumulative description of the types of damages recoverable. The only limitation on punitive damages is the cap that is expressed.

Also, an action on a fraudulent lien "may be instituted independently of any other action."

Bruce Partington | Shareholder
Board Certified Specialist in Construction Law
bpartington at clarkpartington.com<mailto:bpartington at clarkpartington.com> | (850) 432-1399<callto:(850)%20432-1399>

CLARK PARTINGTON
Office: (850) 434-9200 | Fax: (850) 432-7340
125 East Intendencia Street, 4th Floor
Pensacola, Florida 32502
clarkpartington.com<https://clarkpartington.com/>

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From: clc-discussion-bounces at lists.flabarrpptl.org <clc-discussion-bounces at lists.flabarrpptl.org> On Behalf Of RPPTL CLC-Discussion
Sent: Wednesday, April 26, 2023 2:21 PM
To: clc-discussion at lists.flabarrpptl.org
Subject: Re: [CLC-Discussion] Punitive damages for fraudulent lien in the absence of actual damages?

Doubtful

Sincerely,

Barry Kalmanson
500 N. Maitland Avenue
Suite 305
Maitland, Fl. 32751
407-645-4500 x 215

https://link.edgepilot.com/s/53196555/XYCliRnwlUyv6uVfFVAN-Q?u=http://www.barrykalmanson.com/

From: clc-discussion-bounces at lists.flabarrpptl.org<mailto:clc-discussion-bounces at lists.flabarrpptl.org> <clc-discussion-bounces at lists.flabarrpptl.org<mailto:clc-discussion-bounces at lists.flabarrpptl.org>> On Behalf Of RPPTL CLC-Discussion
Sent: Wednesday, April 26, 2023 1:47 PM
To: clc-discussion at lists.flabarrpptl.org<mailto:clc-discussion at lists.flabarrpptl.org>
Subject: Re: [CLC-Discussion] Punitive damages for fraudulent lien in the absence of actual damages?

To clarify further: what happens if lienor records lien which might otherwise be deemed as fraudulent and then, months later, and shortly after suit to foreclose is filed, the lienor cancels the lien.  Owner doesn't suffer any actual damages in the form off loss of sale, loss of financing ability, etc., and in fact owner doesn't suffer any out of pocket losses at all.  Is owner still entitled to punitive damages against lienor?

John Trawick

From: clc-discussion-bounces at lists.flabarrpptl.org<mailto:clc-discussion-bounces at lists.flabarrpptl.org> <clc-discussion-bounces at lists.flabarrpptl.org<mailto:clc-discussion-bounces at lists.flabarrpptl.org>> On Behalf Of RPPTL CLC-Discussion
Sent: Wednesday, April 26, 2023 12:38 PM
To: clc-discussion at lists.flabarrpptl.org<mailto:clc-discussion at lists.flabarrpptl.org>
Subject: Re: [CLC-Discussion] Punitive damages for fraudulent lien in the absence of actual damages?

See Martin v. Jack Yanks 650 So2d 120 (3rd DCA 1995)... in the dicta at 122, Court says owner's costs, clerk fees and reasonable attorney fees to remove fraudulent lien was its damages and entitled to punitive damages as a matter of law.

Michael J. Yates, Esq.
Board Certified in Construction Law
5975 Sunset Drive, Suite 602
Miami FL 33143
Office 305.666.8100
Fax      305.666.8106

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From: clc-discussion-bounces at lists.flabarrpptl.org<mailto:clc-discussion-bounces at lists.flabarrpptl.org> <clc-discussion-bounces at lists.flabarrpptl.org<mailto:clc-discussion-bounces at lists.flabarrpptl.org>> On Behalf Of RPPTL CLC-Discussion
Sent: Wednesday, April 26, 2023 1:05 PM
To: clc-discussion at lists.flabarrpptl.org<mailto:clc-discussion at lists.flabarrpptl.org>
Subject: [CLC-Discussion] Punitive damages for fraudulent lien in the absence of actual damages?

Is anyone aware of any case law wherein a court awarded punitive damages for the recording of a fraudulent lien in the absence of actual damages?  The language of the statute, 713.31(2)(c), appears to suggest that an owner would be entitled to punitive damages only if the owner can also demonstrate actual damages resulting from the fraudulent lien.  Any insight in this regard would be greatly appreciated!

John Trawick
Board Certified Construction Attorney

John B. Trawick, PLLC
3298 Summit Blvd., Suite 5 | Pensacola, Florida 32503
Office: (850) 476-0495 | Direct: (850) 982-0165

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