O'Kon and Co., Inc. v. Riedel

540 So. 2d 836, 1988 WL 134442
CourtDistrict Court of Appeal of Florida
DecidedMarch 31, 1989
Docket87-1655
StatusPublished
Cited by6 cases

This text of 540 So. 2d 836 (O'Kon and Co., Inc. v. Riedel) 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
O'Kon and Co., Inc. v. Riedel, 540 So. 2d 836, 1988 WL 134442 (Fla. Ct. App. 1989).

Opinion

540 So.2d 836 (1988)

O'KON AND COMPANY, INC., Appellant,
v.
Robert A. RIEDEL, Robert C. Riedel, John Bloxham Smith, Jr., and John G. Wurst, D/B/a Rsw Hotel Associates, Ltd., Appellees.

No. 87-1655.

District Court of Appeal of Florida, First District.

December 14, 1988.
On Motion for Rehearing March 31, 1989.

James E. McDonald, of McDermott, Will & Emery, Miami, and Paul H. Amundsen, of McDermott, Will & Emery, Tallahassee, for appellant.

Daniel S. Dearing and Robert Cintron, Jr., of Dearing & Cintron, Tallahassee, for appellees.

JOANOS, Judge.

Appellant, O'Kon and Company, Inc., has appealed a non-final order entered pursuant to Rule 9.130, Fla.R.App.P., granting partial summary judgment. The following issues were raised for our review: (1) whether there were sufficient facts to support the trial court's summary invalidation of appellant's lien and the immediate release of the lien funds; (2) whether the trial court erred by not following the mandatory statutory procedures in discharging and invalidating appellant's lien; and (3) whether the trial court should be ordered to reinstate the cash bond or order that appellee provide equivalent security. We affirm as to issues two and three. As to issue one, we affirm the trial court's decision to grant partial summary judgment with respect to appellant's lien, but reverse parts of the order and remand for further proceedings as follows.

Appellant (O'Kon) is a Georgia corporation engaged in design and engineering with respect to hotel projects. Appellees proposed to construct a hotel on property in Leon County, Florida, and contracted with O'Kon for architectural, engineering and project management services. Subsequently, problems arose between the parties. Eventually O'Kon filed a mechanic's lien on April 23, 1987, for its services on *837 the real property in Leon County. In reaction to the filing of the mechanic's lien by O'Kon, appellees brought suit alleging (1) slander of title, and (2) breach of a statutetort, alleging that appellant's lien was fraudulent as provided in section 713.31, Florida Statutes. O'Kon thereafter counterclaimed to enforce its mechanic's lien and for breach of contract. During the pendency of the proceeding, the real property subject to O'Kon's lien was sold, and pursuant to section 713.24, Fla. Stat., appellees placed a cash bond of $191,260 with the clerk of court representing the lien amount plus interest and costs.

The court rendered an order granting partial summary judgment in favor of appellees. The court summarily found that because O'Kon is not registered as an architect in Florida, O'Kon's lien was invalid and therefore the court directed the clerk to release the money in the court registry to appellees.[1]

*838 The pertinent laws governing the issues raised in this appeal are found in Chapter 713, Part I, Mechanics' Liens,[2] and Chapter 481, Part I, Architecture.[3] We examine the *839 statutes in pari materia to resolve the questions raised as a result of the trial court's order.

O'Kon contends that as a corporation, O'Kon acted not as an architect, but rather as a project manager, and therefore was not required to meet the regulatory provisions of the pertinent statutes governing the practice of architecture in Florida. We disagree. The parties' contract is entitled "Standard Form of Agreement Between Owner and Architect," and directly under this title is stated:

BETWEEN The owner: RSW Hotel Associates, Ltd.

and the Architect: as used herein Architect shall refer to and mean:

O'Kon and Company, Inc. 44 Broad Street NW, Suite 810 Atlanta, Georgia 30303

As appellant contends, this agreement is signed by O'Kon as "project manager," and the designation "architect" is crossed out. (Appendix 133). The record reflects that in this case, O'Kon and Company, Inc., regardless of the labels to which it ascribes, has acted in at least a supervisory capacity over the architect and the architecture involved. The legislature intended Chapter 481 to protect the public from improper design and improper construction supervision by architects of buildings primarily designed for human habitation. Further, Chapter 713 which provides for professionals *840 offering services to file a lien for services, does not include "project managers." In the contract between O'Kon and appellee, it is stated "[t]he architect warrants that he is properly licensed to carry out the terms of the agreement." (Appendix 133). Under this statement appellant is represented as "Project Manager, O'Kon and Company, Inc." Further, under compensation for additional services, it is stated, "any additional services of the architect or consultants hired by the architect ..." (Appendix 131.) We agree with appellees' arguments that the record supports the determination that O'Kon's principal, Mr. James O'Kon, was holding himself and his corporation out as "architect" while knowing that he was not registered, certified or otherwise authorized to practice architecture in the state of Florida, contrary to section 481.223, Florida Statutes.

In his deposition, the only licensed architect in the design team, Warren Dixon, stated that O'Kon never had an office in Florida, and that he and his firm were supposed to serve as the Florida branch of O'Kon, but that never came to pass. Dixon testified that he was under the impression that the filing for a registration for O'Kon had begun, but he was not sure that it had, and the first phase of the work had already been done before it was even discussed. He further stated that he did not know of any specific steps that Mr. James O'Kon took to become registered as an architect in Florida. Dixon admitted that he knew that the state of Florida required O'Kon to be registered in the state if they were going to practice architecture in the state, and he participated in extensive conversations with Mr. James O'Kon regarding this issue during their first conference. (Appendix 24-27). A review of Dixon's deposition reveals that O'Kon was aware of the statutory requirements involving the practice of architecture in Florida, but never acted on the provisions to meet the statutory requirements.

Gaisford v. Neushcatz, 201 So.2d 635 (Fla. 4th DCA), cert. denied 207 So.2d 689 (Fla. 1967), cited by O'Kon, is not applicable. In that case, appellant, an out of state architect, had applied for his Florida certificate, and while a waiting its arrival, completed the requested plans and specifications for a motel and delivered them to the appellee. He received his certificate within months of delivering the plans. The court found that the preparation and delivery of the plans prior to certification was an isolated act and did not constitute practicing architecture in Florida which would render the contract unenforceable. There was no issue involving a lien, and no facts approaching the magnitude of appellant's ongoing, unauthorized, participation as an architect in the instant case.

Rolls v. Bliss & Nyitray, Inc., 408 So.2d 229 (Fla. 3rd DCA 1981), appeal dismissed, 415 So.2d 1359 (Fla. 1982), cited by the trial judge in paragraph four of its order, is also inapplicable, for therein no reference was made to a mechanics' lien, in contrast to the focus of the instant case.

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Bluebook (online)
540 So. 2d 836, 1988 WL 134442, Counsel Stack Legal Research, https://law.counselstack.com/opinion/okon-and-co-inc-v-riedel-fladistctapp-1989.