INTERN. FIDELITY v. Prestige Rent-A-Car

715 So. 2d 1025, 1998 Fla. App. LEXIS 9468, 1998 WL 416496
CourtDistrict Court of Appeal of Florida
DecidedJuly 24, 1998
Docket97-0127, 97-0507
StatusPublished
Cited by3 cases

This text of 715 So. 2d 1025 (INTERN. FIDELITY v. Prestige Rent-A-Car) 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
INTERN. FIDELITY v. Prestige Rent-A-Car, 715 So. 2d 1025, 1998 Fla. App. LEXIS 9468, 1998 WL 416496 (Fla. Ct. App. 1998).

Opinion

715 So.2d 1025 (1998)

INTERNATIONAL FIDELITY INSURANCE COMPANY, Appellant,
v.
PRESTIGE RENT-A-CAR, INC., etc., et al., Appellee.

Nos. 97-0127, 97-0507.

District Court of Appeal of Florida, Fifth District.

July 24, 1998.
Rehearing Denied August 21, 1998.

*1026 Steven G. Schember and Cynthia L. Bulanof Shumaker, Loop & Kendrick, LLP, Tampa, for Appellant.

John H. Bill and Janet M. Lower of Godbold, Downing, Sheahan & Battaglia, P.A., Winter Park, for Appellee Prestige Rent-A-Car, Inc.

ON MOTION FOR REHEARING

ANTOON, Judge.

We grant the appellant's motion for rehearing, withdraw our opinion filed May 15, 1998, and issue this opinion in its place.

International Fidelity Insurance Company (Fidelity) appeals two orders entered by the trial court. The first order directs Fidelity to pay on its bond as surety for Advantage Car Rental and Sales, Inc. (Advantage). The second order directs Fidelity to pay Prestige's attorneys' fees incurred in this matter. We affirm both orders.

Advantage, a New York corporation, entered into an automobile lease agreement with Prestige, a Florida corporation. Approximately seven months after the lease was executed, Advantage filed suit against Prestige in the New York federal district court claiming that Prestige had breached the parties' lease agreement by failing to make the required payments. The complaint set forth two counts alleging breach of contract, and a separate claim for replevin of the leased automobiles. However, the New York court determined that it lacked jurisdiction to order replevin since the automobiles were located in Florida. As a result, the court dismissed Advantage's replevin claim.

While the New York lawsuit remained pending, Advantage filed a complaint in the circuit court in Orange County seeking replevin of the leased vehicles. See § 78.068, Fla. Stat. (1993).[1] Upon motion filed by Advantage, the trial court issued a prejudgment writ of replevin conditioned upon the posting of a $100,000 bond. Fidelity, as Advantage's surety, posted the bond. Prestige thereafter filed a motion to dissolve the prejudgment writ of replevin. The trial court denied the motion but increased the amount of the bond to $113,000. Prestige appealed the trial court's ruling. Upon review, this court affirmed the entry of the prejudgment writ of replevin as well as the imposition of the bond. See Prestige Rent-A-Car, Inc. v. Advantage Car Rental and Sales, Inc., 656 So.2d 541 (Fla. 5th DCA 1995).

While the appeal was pending in this court, the proceedings in both the Florida circuit court and the New York federal court continued. In both venues, Prestige filed counterclaims against Advantage alleging breach of the parties' lease agreement and wrongful replevin. Also, in the Florida lawsuit, Prestige filed a motion against Fidelity seeking payment on the bond pursuant to rule 1.625 of the Florida Rules of Civil Procedure.[2]

*1027 The New York lawsuit was later resolved when the federal court dismissed Advantage's complaint with prejudice and entered a default judgment against Advantage on Prestige's counterclaims, including the claim of wrongful replevin. After the default judgment was entered, Prestige moved for summary judgment in the Florida lawsuit seeking judgment against Advantage based upon the application of the doctrine of res judicata. Advantage did not appear at the hearing on the motion for summary judgment. However, Fidelity appeared and was represented by counsel. Although Fidelity was not a party to the action and had not filed a motion to intervene, the trial court granted Fidelity's request to be heard. Counsel for Fidelity stated that he had no objection to the entry of a final judgment against Advantage on Prestige's counterclaims, but did object to any ruling which would foreclose Fidelity from raising defenses on the issue of Fidelity's liability on the bond. The trial court assured Fidelity it would be given an opportunity to be heard if Prestige proceeded against Fidelity on the bond. The trial court then entered final judgment in favor of Prestige on its counterclaims of breach of contract and wrongful replevin. In doing so, the trial court applied the doctrine of res judicata:

"As a result of the default judgment having been entered in favor of [Prestige] against [Advantage] in the federal court action on [Prestige's] counterclaims and their counterclaims also included an action for wrongful replevin and breach of the lease agreement, summary judgment is also entered on behalf of [Prestige] in the instant action on the counterclaim.... Accordingly, [Advantage] is liable to [Prestige] in count I of having wrongful replevied the leased vehicles referenced in their complaint and is also liable pursuant to the allegations in Count II "Breach of Lease Agreement" for having breached the lease agreement."

The matter then proceeded to trial on the issue of damages. The jury awarded Prestige $1,018,182.66 in damages against Advantage, and the trial court entered judgment in that amount.

Following the entry of the damages judgment, Fidelity filed a response to Prestige's pending motion to compel payment on the bond. This response included a general denial of liability but failed to assert any defenses in law or in fact. Prestige then moved for summary judgment on its motion for payment on the bond. After conducting a hearing, the trial court determined that, since the replevied automobiles were no longer in Advantage's possession, payment on the bond was required pursuant to section 78.21 of the Florida Statutes (1993).[3] Thereafter, the trial court entered a second order directing Fidelity to pay Prestige's attorneys' fees pursuant to section 768.79 of the Florida Statutes (1993), which provides that a plaintiff is entitled to an award of attorneys' fees if, prior to judgment, he or she makes a demand for judgment to the opposing party and the amount of the judgment damages awarded after trial is at least twenty-five percent greater than the original demand. Fidelity timely appealed both of these final orders. We have consolidated the appeals in the interest of judicial economy.

At the onset, it is important to point out that Prestige suggests that Fidelity has waived its right to assert any claims of error relating to the trial court's order requiring payment on the bond because Fidelity failed to raise any specific defenses in its response to Prestige's motion to compel payment on the bond as required by rule 1.625 of the Florida Rules of Civil Procedure. However, we conclude that since Fidelity appeared before the trial court and was permitted to present argument on several defenses, such *1028 arguments have been preserved for appellate review. All other claims of error which were not argued at the hearing have been waived.[4]

The first claim of error advanced by Fidelity is that the trial court erred in directing payment on the bond without first ordering Advantage to return the automobiles to Prestige. See § 78.21, Fla. Stat. (1993). The trial court did not enter an order directing Advantage to return the automobiles because Advantage had admitted that all of the automobiles had already been sold. Thus, entry of an order to return the automobiles would have been futile. Florida law does not require trial courts to enter orders which are impossible to execute or which require parties to perform acts that cannot be of any force or effect. See Rodriguez v. Smith, 673 So.2d 559, 560 (Fla. 3d DCA 1996).

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Bluebook (online)
715 So. 2d 1025, 1998 Fla. App. LEXIS 9468, 1998 WL 416496, Counsel Stack Legal Research, https://law.counselstack.com/opinion/intern-fidelity-v-prestige-rent-a-car-fladistctapp-1998.