Dane Construction & Co. v. Travelers Casualty & Surety Co. of America

207 F. Supp. 3d 1357, 2016 U.S. Dist. LEXIS 140882, 2016 WL 5724280
CourtDistrict Court, S.D. Florida
DecidedSeptember 19, 2016
DocketCase No. 16-61096-Civ-DIMITROULEAS
StatusPublished

This text of 207 F. Supp. 3d 1357 (Dane Construction & Co. v. Travelers Casualty & Surety Co. of America) is published on Counsel Stack Legal Research, covering District Court, S.D. Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dane Construction & Co. v. Travelers Casualty & Surety Co. of America, 207 F. Supp. 3d 1357, 2016 U.S. Dist. LEXIS 140882, 2016 WL 5724280 (S.D. Fla. 2016).

Opinion

ORDER DENYING DEFENDANTS’ MOTION TO DISMISS THE COMPLAINT ON GROUNDS OF FORUM NON CONVENIENS

WILLIAM P. DIMITROULEAS, United States District Judge

THIS CAUSE having come before the Court upon Defendants, TRAVELERS CASUALTY AND SURETY COMPANY OF AMERICA, LIBERTY MUTUAL INSURANCE COMPANY, FEDERAL INSURANCE COMPANY, and FIDELITY AND DEPOSIT COMPANY OF MARYLAND (collectively, “Defendants” or the “Sureties”) Motion to Dismiss the Com[1359]*1359plaint on Grounds of Forum Non Conve-niens, for an Extension of Time to Answer the Complaint in the Event that this Motion is Denied [DE 18/19], filed herein on August 1, 2016. The Court has carefully considered the Motion, Plaintiff DANE CONSTRUCTION AND COMPANY, INC. (“Plaintiff’ or “Dane”)’s Response [DE 23], Defendants’ Reply [DE 24] and is otherwise fully advised in the premises.

A. Background

According to the allegations of the Complaint [DE 1]: On or about October 25, 2011, Tutor Perini Fort Lauderdale-Holly-wood Venture(“Tutor Perini”), as contractor, entered into a contract (the “Owner’s Agreement”) with the Board of County Commissioners of Broward County, Florida (the “County”) for the construction of the project known as the “US 1/FEC RR Structures for the Expansion of Runway 9R-27L at FLL, RFP N0840412P1” located in Broward County, Florida (the “Project”). See [DE 1] at ¶ 10; [DE 18-1—18-8]1.

On or about September 30, 2011, the Sureties issued Agreement Form G: Payment Bond bearing no. 105650666, 9059819, 24041905, and 82289520 (the “Bond”) on behalf of Tutor Perini, as principal. ¶ 11; attached at [DE 1-5], By its terms, the Bond is governed by Section 255.05, Fla. Stat. (2011). See [DE 1-5] at pp. 1-2. The Bond contains no provisions governing venue for any action under the Bond. See id.

On or about June 21, 2013, Tutor Perini, entered into a written subcontract with Plaintiff Dane (the “Subcontract”) for the provision of certain labor, services and materials at the Project. [DE 1] at ¶ 12; attached at [DE 1-6].

On May 23, 2016, Plaintiff Dane filed its Complaint against the Sureties [DE 1], asserting a single-count against the Sureties for “Breach of Payment Bond,” and alleging that “Sureties are in material breach of their obligations under the Bond...” Plaintiff specifically alleges in the Complaint that, irrespective of any disputed payment terms between Contractor Tutor Perini and Dane, the Sureties remain obligated to pay Dane’s claim under the Bond, that Dane has made demand upon the Sureties under the Bond, and that Sureties have failed to pay Dane under the Bond despite its demand, in violation of the Sureties’ obligations under the Bond. See [DE 1]. Dane has not filed an action against the Contractor Tutor Perini under the Subcontract or the Owner’s Agreement.

B. Discussion

On August 1, 2016, the Sureties filed the instant motion, asserting that the venue and forum provisions contained in the Subcontract and Oumer’s Agreement should result in the Court dismissing this case based upon grounds of forum non conveniens for Plaintiff Dane to re-file this action against the Sureties in the Seventeenth Judicial Circuit in and for Broward County, Florida.

When moving to dismiss on the grounds of forum non conveniens, the moving party must demonstrate that (1) an adequate alternative forum is available, (2) the public and private factors weigh in favor of dismissal, and (3) the plaintiff can reinstate his suit in the alternative forum without undue inconvenience or prejudice. Leon v. Millon Air, Inc., 251 F.3d 1305, 1310-11 (11th Cir.2001).

[1360]*1360Here, the first prong, that an adequate alternative forum is available, appears to be met. Plaintiff could have originally filed this action in the Seventeenth Judicial Circuit in and for Broward County, Florida. The third prong, that the plaintiff can reinstate his suit in the alternative forum without undue inconvenience or prejudice, initially appears problematic because of statute of limitations issues with refiling the action in state court at the present time. However, the Sureties alleviate the statute of limitations concern in their reply, stating that:

The Sureties have no objection if the Court subjects dismissal to the tolling of the statute of limitations from the date that Dane filed the instant action, to wit, May 23, 2016, to a reasonable period of time following the Court’s order.

See [DE 24] at p. 10.

Accordingly, the Court will turn to the second prong, whether the public and private factors weigh in favor of dismissal. Courts generally consider the following factors when making this decision:

(1) the convenience of the witnesses; (2) the location of relevant documents and the relative ease of access to sources of proof; (3) the convenience of the parties; (4) the locus of operative facts; (5) the availability of process to compel the attendance of unwilling witnesses; (6) the relative means of the parties; (7) a forum’s familiarity with the governing law; (8) the weight accorded a plaintiffs choice of forum; and (9) trial efficiency and the interests of justice, based on the totality of the circumstances.

Manuel v. Convergy’s Corp., 430 F.3d 1132, 1135 n. 1 (11th Cir.2005). “No single factor is dispositive, and courts have differed in the weight afforded to each individual factor.” Wi-LAN USA, Inc. v. Apple Inc., 2013 WL 1343535, at *2 (S.D.Fla. Apr. 2, 2013). The ultimate decision is within the court’s sound discretion. Brown v. Conn. Gen. Life Ins. Co., 934 F.2d 1193, 1197 (11th Cir.1991).

In this case, the Sureties rely heavily on their contention that certain venue and forum selection clauses in the Owner’s Agreement and the Subcontract provide for the exclusive jurisdiction of this case is in the State courts of the Seventeenth Judicial Circuit of Broward County, Florida.

In Atlantic Marine Construction Co. v. United States District Court for the Western District of Texas, — U.S. -, 134 S.Ct. 568, 187 L.Ed.2d 487 (2013), the Supreme Court explained that a viable forum selection clause is strongly controlling in all but exceptional circumstances: “When parties agree to a forum-selection clause, they waive the right to challenge the preselected forum as inconvenient or less convenient for themselves or them witnesses, or for their pursuit of the litigation.... As a consequence, a district court may consider arguments about public-interest factors only. Because those factors will rarely defeat a transfer motion, the practical result is that forum-selection clauses should control except in unusual cases.” Id. at 582; see also GDG Acquisitions, LLC v. Gov’t of Belize, 749 F.3d 1024, 1028-29 (11th Cir.2014).

The Sureties rely on a combination of venue and forum provisions contained in the Subcontract and Oumer’s Agreement, as set forth below:

The Owner’s Agreement

Free access — add to your briefcase to read the full text and ask questions with AI

Related

William S. Manuel v. Convergys Corporation
430 F.3d 1132 (Eleventh Circuit, 2005)
Brown v. Connecticut General Life Ins. Co.
934 F.2d 1193 (Eleventh Circuit, 1991)
Ins. Co. of North Am. v. Jetstar Dev., Inc.
515 So. 2d 272 (District Court of Appeal of Florida, 1987)
J.C. Renfroe & Sons, Inc. v. Renfroe Japan Co.
515 F. Supp. 2d 1258 (M.D. Florida, 2007)
GDG Acquisitions, LLC v. Government of Belize
749 F.3d 1024 (Eleventh Circuit, 2014)
American Insurance Co. v. Joyner Electric, Inc.
618 So. 2d 799 (District Court of Appeal of Florida, 1993)

Cite This Page — Counsel Stack

Bluebook (online)
207 F. Supp. 3d 1357, 2016 U.S. Dist. LEXIS 140882, 2016 WL 5724280, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dane-construction-co-v-travelers-casualty-surety-co-of-america-flsd-2016.