Amber Glades, Inc. v. LEISURE ASSOCIATES LIMITED PARTNERSHIP

893 So. 2d 620, 2005 Fla. App. LEXIS 1360, 2005 WL 292265
CourtDistrict Court of Appeal of Florida
DecidedFebruary 9, 2005
Docket2D04-1884
StatusPublished
Cited by7 cases

This text of 893 So. 2d 620 (Amber Glades, Inc. v. LEISURE ASSOCIATES LIMITED PARTNERSHIP) is published on Counsel Stack Legal Research, covering District Court of Appeal of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Amber Glades, Inc. v. LEISURE ASSOCIATES LIMITED PARTNERSHIP, 893 So. 2d 620, 2005 Fla. App. LEXIS 1360, 2005 WL 292265 (Fla. Ct. App. 2005).

Opinion

893 So.2d 620 (2005)

AMBER GLADES, INC., Appellant,
v.
LEISURE ASSOCIATES LIMITED PARTNERSHIP and P & S Florida Leisure Corporation, Appellees.

No. 2D04-1884.

District Court of Appeal of Florida, Second District.

February 9, 2005.

*621 Christopher S. Kuhn and Justin G. Joseph of Justin G. Joseph, P.A., Tarpon Springs, for Appellant.

David D. Eastman and Carol S. Grondzik of Lutz, Bobo, Telfair, Eastman, Tallahassee, for Appellees.

ALTENBERND, Chief Judge.

Amber Glades, Inc., a mobile homeowners' association, appeals an order determining a class pursuant to Florida Rule of Civil Procedure 1.222. The order was entered in its action against the mobile home park owners, Leisure Associates Limited Partnership and P & S Florida Leisure Corporation (Leisure). This appeal demonstrates that rule 1.222 leaves many important procedural issues unresolved. We approve the order on appeal to the extent that it requires Amber Glades to give notice of the lawsuit to all mobile homeowners in the relevant park. At this point, all remaining legal issues that trouble either the parties to this appeal or this court are not ripe for review because no affected mobile homeowner is a party or even a notified class member in the trial court proceedings and no mobile homeowner has participated in this appellate proceeding.

I. THE LAWSUIT

In October 2003, Amber Glades filed a multicount complaint against Leisure.[1] Amber Glades filed the action "on behalf of all mobile homeowners in the park." None of those mobile homeowners were named as parties in the complaint. The complaint contains several theories, three of which warrant discussion. First, it maintains that a recent lot rental increase, which apparently affected all mobile homeowners, was unreasonable and should be unenforceable. Second, it maintains that Leisure has improperly amended park rules or is not enforcing park rules that generally bar people under the age of fifty-five from living in the park. Finally, it maintains that Leisure is not enforcing rules restricting pets within the park. Amber Glades seeks monetary damages for the mobile homeowners, other relief as is just and proper, and attorneys' fees.

This complaint was filed in reliance upon rule 1.222, which states in its entirety:

A mobile homeowners' association may institute, maintain, settle, or appeal actions or hearings in its name on behalf of all homeowners concerning matters of common interest, including, but not limited to: the common property; structural components of a building or other improvements; mechanical, electrical, and plumbing elements serving the park property; and protests of ad valorem taxes on commonly used facilities. If the association has the authority to maintain a class action under this rule, the association may be joined in an action as representative of that class with reference to litigation and disputes involving the matters for which the association *622 could bring a class action under this rule. Nothing herein limits any statutory or common-law right of any individual homeowner or class of homeowners to bring any action which may otherwise be available. An action under this rule shall not be subject to the requirements of rule 1.220.

Rule 1.222 was created by the supreme court in 1988 when the court declared unconstitutional most of section 723.079(1), Florida Statutes (1985). See Lanca Homeowners, Inc. v. Lantana Cascade of Palm Beach, Ltd., 541 So.2d 1121 (Fla.1988). Since 1988, there has been little case law addressing this rule.[2]

Most class actions are governed by Florida Rule of Civil Procedure 1.220. Because rule 1.222 expressly states that an action under that rule is not subject to the requirements of rule 1.220, Amber Glades did not allege every matter required by rule 1.220. It did not file a motion to certify a class.

The defendant, Leisure, responded to the complaint by filing a motion to determine claims and defenses maintainable as a class action. Leisure wanted the trial court to determine a class, make Amber Glades the class representative, and send notices of the class action to the members of the class. Amber Glades maintained that no notice was required or should be sent to the affected mobile homeowners.

The trial court granted Leisure's motion. It entered an order certifying a class of all mobile homeowners in the park on February 26, 2003, designating Amber Glades as the class representative, requiring notification of the class, and allowing members of the class to opt out. The notice approved by the trial court cautions the mobile homeowners that they may be jointly and severally liable for an award of attorneys' fees if Amber Glades does not prevail in this action. This is the order on review in this appellate proceeding.

II. THE UNUSUAL TACTICS BY BOTH PARTIES IN THIS ACTION

It should occur to the reader that the positions of the parties in this case are oddly backwards. Normally, the plaintiff in an action eligible for class action treatment seeks an order creating a class and wants to become the class representative. Normally, the defendant opposes the creation of a class and appeals the order certifying the class. There is a rational explanation why the parties in this case are taking positions opposite the positions usually taken in class actions. The explanation centers on the risk of an adverse judgment awarding attorneys' fees and costs in an action filed under chapter 723, Florida Statutes (2003).

Mobile home parks are heavily regulated by the state. The legislature has actually preempted this subject. See § 723.004, Fla. Stat. (2003). When litigation results under chapter 723 between private parties, the prevailing party is typically entitled to receive an award of reasonable attorneys' fees. See § 723.068, Fla. Stat. (2003). Most owners of mobile home parks have assets that could be used to pay an award of fees if the mobile homeowners prevail in a lawsuit. Many *623 mobile homeowners, however, have limited assets. They may be unable to pay a judgment awarding fees. The risk of losing a lawsuit under chapter 723 could easily cause mobile homeowners to choose to forego litigation.

Rule 1.222 was modeled on rule 1.221, which permits similar actions by condominium associations. There is, however, a considerable difference between a condominium association and the typical mobile homeowners' association. All condominium owners are members of the association. See § 718.111(1)(a), Fla. Stat. (2003). A condominium association usually has significant assets and powers. See § 718.111, Fla. Stat. (2003). The condominium association generally has insurance to protect itself from claims. See § 718.111(11), Fla. Stat. (2003). By contrast, only two-thirds of the mobile homeowners in a park must join a mobile homeowners' association. See § 723.075, Fla. Stat. (2003). A mobile homeowners' association has fewer powers than a condominium association and is likely to have modest assets. It is far less likely to have insurance to cover a claim against the association. See § 723.079, Fla. Stat. (2003).

Thus, Amber Glades may have little to lose if a judgment is entered against it. Amber Glades' attorneys have named no mobile homeowners as plaintiffs. They want to maintain this lawsuit in a manner by which the mobile homeowners are not parties in the hopes that these mobile homeowners will have no risk of personal judgments entered against them if they lose.

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Bluebook (online)
893 So. 2d 620, 2005 Fla. App. LEXIS 1360, 2005 WL 292265, Counsel Stack Legal Research, https://law.counselstack.com/opinion/amber-glades-inc-v-leisure-associates-limited-partnership-fladistctapp-2005.