District Bd. of Trustees v. Morgan

890 So. 2d 1155, 2004 Fla. App. LEXIS 19293, 2004 WL 2922479
CourtDistrict Court of Appeal of Florida
DecidedDecember 17, 2004
Docket5D03-3902
StatusPublished
Cited by3 cases

This text of 890 So. 2d 1155 (District Bd. of Trustees v. Morgan) 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
District Bd. of Trustees v. Morgan, 890 So. 2d 1155, 2004 Fla. App. LEXIS 19293, 2004 WL 2922479 (Fla. Ct. App. 2004).

Opinion

890 So.2d 1155 (2004)

The DISTRICT BOARD OF TRUSTEES, etc., Appellant,
v.
Don R. MORGAN, etc., Appellee.

No. 5D03-3902.

District Court of Appeal of Florida, Fifth District.

December 17, 2004.
Rehearing Denied January 19, 2005.

Wendy Vomacka and David C. Willis of Rumberger, Kirk & Caldwell, Orlando, for Appellant.

Peter Robertson and T.J. Frasier of the Robertson Group, Gainesville, for Appellee.

MONACO, J.

The District Board of Trustees of St. Johns River Community College appeals the final judgment rendered by the trial court after a jury trial. The appellee is an architect who had entered into a contract for the provision of professional services to the College, and the underlying dispute involved whether the architect was entitled to payment for certain work performed. While we affirm the judgment, we write to *1156 address an issue that in some respects brings us into conflict with our sister court in the First District. The issue concerns whether a contract entered into between the College and a partnership comprised of two fully licensed Florida architects who never obtained the certificate of authorization described by section 481.219, Florida Statutes (1999), is void ab initio, and is therefore unenforceable by the architects. We conclude that the contract was only voidable, not void, and was accordingly enforceable while it was still in existence.

We recite only the facts necessary to adjudicate this particular issue on appeal. Essentially, in April of 1999, the College entered into an AIA "Standard Form of Agreement Between Owner and Architect" with Morgan-Stresing Associates ("MSA"). The agreement, which was signed both by the appellee, Don Morgan, and by his purported partner, Paul Stresing, concerned the design and preparation of bidding documents associated with the construction of the St. Johns River Community College's visual and performing arts complex. Mr. Morgan and Mr. Stresing are both licensed Florida architects, having met the requirements of section 481.213, Florida Statutes (1999). The problem is that their partnership, MSA, never obtained a certificate of authorization, as is required by section 481.219, Florida Statutes (1999).

Section 481.219 allows architecture to be practiced through a corporation or a partnership, subject to certain conditions having been met. Subsection (2) of the statute reads in pertinent part as follows:

For the purposes of this section, a certificate of authorization shall be required for a corporation, partnership, or person practicing under a fictitious name, offering architectural services to the public jointly or separately. However, when an individual is practicing architecture in her or his own name, she or he shall not be required to be certified under this section.

Apparently, although contemplating the formation of a partnership to complete this work, the two principals of MSA were never able to fully consummate their arrangement, and MSA never obtained a certificate of authorization.

After the architects had completed about 70% of their contract work, they were terminated by the College. When this suit was commenced, the College counterclaimed and asserted a number of affirmative defenses in which, among other things, it pointed out that MSA had failed to obtain a certificate of authorization. Thus, they posited, the contract was void ab initio, and was obtained by fraud in the inducement. MSA conceded that it had actively represented to the College that both Mr. Morgan and Mr. Stresing would devote their time as principals to the project. They claimed, however, that they were in the process of obtaining the certificate of authorization at the time of the termination. They argued that the College was simply looking for a way to use the plans prepared by Mr. Morgan and Mr. Stresing without paying full price.

It appears that the Board of Trustees had knowledge as early as December of 1999, that Mr. Morgan and Mr. Stresing were not "partners," and that a certificate had not been obtained. There is also testimony, however, that the two men were told by the College to continue to work together on the project, and to try to develop a resolution of the partnership issue. In June of 2000, the College wrote to the attorney representing the architects telling them to cure the certificate of authorization problem by June 30. MSA failed to meet that deadline. Curiously, on July 11, 2000, Mr. Morgan delivered to the College the plans and specifications that *1157 he described as completed phase 3 documents. The plans and specifications appear to have been accepted and put to use by the College.

The evidence also indicated that five weeks later Mr. Morgan and his attorney attended a meeting of the Board of Trustees, and Mr. Morgan and Mr. Stresing provided proposed modifications to the original contract in which they offered three different solutions to the problem caused by the lack of a certificate of authorization. The architects first proposed that the contract be modified so that Mr. Morgan individually would be the "architect," and Mr. Stresing would be a "consultant," with both parties being in privity with the College, and both continuing to work on the project. The second option was to amend the contract so that each individual would be recognized as an architect on the project. Finally, they suggested that if neither of these options was acceptable, they be given a little more time to obtain the certificate of authorization under the MSA name. The Board rejected the proposals, terminated the contract, and hired a new architect. Significantly, however, there was evidence that the College consciously elected to use the MSA plans, and turned those plans over to its new architect. In addition, the College paid consultants money that was owed to MSA.

The jury found on the counterclaim of the College that the architects had in fact obtained the contract by fraud, and that the College had suffered damages of $61,476.58, as a result. The jury also found, however, that the College breached the contract it had with MSA, and that MSA suffered damages of $413,049.68. After the damages were adjusted accordingly, and a final judgment in favor of the architect was rendered, this appeal ensued.[1]

The College argues that the final judgment should be reversed because the contract between the College and MSA was in violation of statute, and was, therefore, void and not enforceable by MSA. The College relies on the failure of MSA to obtain a certificate of authorization in support of its theory that the contract was void. The foundation for this proposition is O'Kon and Company, Inc. v. Riedel, 588 So.2d 1025 (Fla. 1st DCA 1991).

O'Kon was a Georgia corporation engaged in the business of providing architectural and engineering services. It decided to venture into Florida for work. In addition to hiring a licensed Florida architect, O'Kon hired an unlicensed architect living in Florida to work on the plans. O'Kon, however, had not registered in Florida, and had not received a certificate of authorization, contrary to section 481.219. After the developer decided to abandon the project and not pay its architects, O'Kon filed a claim of lien against the real property that was the subject of its contract, and also sought to collect on its contract claim, even though it was unlicensed and unregistered in this state. O'Kon argued that all the architectural work in the case was either done by the Florida licensed architect or supervised by him (O'Kon being the principal), and that registration was a mere ministerial and technical act.

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

Related

Buyer's Choice Auto Sales, LLC v. Palm Beach Motors, LLC
District Court of Appeal of Florida, 2024
District Board of Trustees v. Morgan
918 So. 2d 273 (Supreme Court of Florida, 2005)

Cite This Page — Counsel Stack

Bluebook (online)
890 So. 2d 1155, 2004 Fla. App. LEXIS 19293, 2004 WL 2922479, Counsel Stack Legal Research, https://law.counselstack.com/opinion/district-bd-of-trustees-v-morgan-fladistctapp-2004.