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<p class="MsoNormal">Good afternoon.<span style="mso-spacerun:yes"> </span>I seek the collective knowledge of fellow experts on the above topic, specifically on procedure.<span style="mso-spacerun:yes">
</span><o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Section 713.21(4) establishes the show cause procedure.<span style="mso-spacerun:yes">
</span>Owner follows that procedure in initiating a lien discharge action.<span style="mso-spacerun:yes">
</span>The implication of the statute is that this is an expedited proceeding.<span style="mso-spacerun:yes">
</span>The owner is entitled, pursuant to section 713.31(c), to include in that proceeding a claim for fraudulent lien damages.<span style="mso-spacerun:yes">
</span>The implication is that since 713.21 is an expedited proceeding, a determination of fraudulent lien damages (and attorney’s fees incurred in procuring lien discharge) should also be expedited.<span style="mso-spacerun:yes">
</span>Florida Rule of Civil Procedure 1.010 indicates that the “form, content, procedure, and time for pleading in all special statutory proceedings shall be as prescribed by the statutes governing the proceeding unless these rules specifically provide to
the contrary.”<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Now to the fact pattern since procedure is not easily applied in a vacuum.<span style="mso-spacerun:yes">
</span>Owner seeks all of the above-described relief in its complaint.<span style="mso-spacerun:yes">
</span>Contractor files a pleading within the 20 days but does not commence foreclosure or show cause why the lien should not be discharged.<span style="mso-spacerun:yes">
</span>In that pleading contractor consents to immediate discharge of the lien (while making no admission of grounds alleged by owner) and files a counterclaim for breach of contract damages against owner.<span style="mso-spacerun:yes">
</span>Contractor and Owner submit an agreed order to the court discharging the lien and reserving jurisdiction as to the remaining relief sought in owner’s complaint.<span style="mso-spacerun:yes">
</span><o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">It seems that since a counterclaim is a pleading and that counterclaims are not expressly authorized by section 713.21, no counterclaim should be allowed.<span style="mso-spacerun:yes">
</span>That would leave the court left to adjudicate fraudulent lien damages and both the right attorney’s fees and amount.<span style="mso-spacerun:yes">
</span>That would not require a massive undertaking by the court (the grounds for discharge and fraudulent lien damages are:<span style="mso-spacerun:yes">
</span>(1) a request for sworn statement was not timely responded to but the lien was recorded anyway, and (2) on the same date the lien was recorded the contractor issued a written statement claiming it was owed roughly $14k but liened for roughly $200k.)<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Here are the questions:<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
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<li class="MsoListParagraph" style="margin-left:0in;mso-list:l0 level1 lfo1">Are counterclaims permitted in a 713.21 proceeding?<o:p></o:p></li><li class="MsoListParagraph" style="margin-left:0in;mso-list:l0 level1 lfo1">Is an owner entitled to an expedited evidentiary hearing to determine fraudulent lien damages and entitlement and amount of attorney’s fees to be awarded?<o:p></o:p></li><li class="MsoListParagraph" style="margin-left:0in;mso-list:l0 level1 lfo1">Is discovery available in such a proceeding?<o:p></o:p></li></ol>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="mso-spacerun:yes"> </span><span style="mso-spacerun:yes"> </span><o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal"><span style="mso-fareast-font-family:"Times New Roman";mso-no-proof:yes"><o:p> </o:p></span></p>
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<p class="MsoNormal"><b><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">Justin R. Zinzow<o:p></o:p></span></b></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-bidi-font-weight:bold;mso-no-proof:yes">Admitted to Practice Florida & Texas<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">AV Preeminent® Rated Attorney<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">Fla. Board Certified in Construction Law<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">P: (727) 787-3121<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">F: (727) 375-5593<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">8750 Hawbuck Street<o:p></o:p></span></p>
<p class="MsoNormal"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">Trinity, Florida 34655<o:p></o:p></span></p>
<p class="MsoNormal"><span style="mso-ascii-font-family:Calibri;mso-fareast-font-family:"Times New Roman";mso-hansi-font-family:Calibri;mso-bidi-font-family:Calibri;mso-no-proof:yes">www.zinzowlaw.com<o:p></o:p></span></p>
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<p class="MsoNormal" align="center" style="text-align:center"><span style="font-family:"Calibri Light",sans-serif;mso-fareast-font-family:"Times New Roman";mso-no-proof:yes">Construction | Real Estate | Equine | Business</span><span style="mso-fareast-font-family:"Times New Roman";mso-no-proof:yes"><o:p></o:p></span></p>
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