Shirley's Personal Care Services of Okeechobee, Inc. v. Boswell

165 So. 3d 824, 2015 Fla. App. LEXIS 8470, 2015 WL 3480289
CourtDistrict Court of Appeal of Florida
DecidedJune 3, 2015
DocketNo. 4D14-1801
StatusPublished
Cited by2 cases

This text of 165 So. 3d 824 (Shirley's Personal Care Services of Okeechobee, Inc. v. Boswell) 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
Shirley's Personal Care Services of Okeechobee, Inc. v. Boswell, 165 So. 3d 824, 2015 Fla. App. LEXIS 8470, 2015 WL 3480289 (Fla. Ct. App. 2015).

Opinion

CIKLIN, J.

Shirley’s Personal Care Services of Okeechobee, Inc., the plaintiff below, sued All About You Caregivers, Inc., the corporate defendant below, plus four individuals (“individual defendants”), alleging breaches of non-compete contracts concerning licensed home health care in Okeechobee County. Shirley’s argues that the trial court erred in awarding fees to the corporate defendant based on a contract provision, because the corporate defendant was not a party to any contract. We agree and reverse the award of fees to the corporate defendant. Shirley’s also argues the court erred in awarding fees to the four individual defendants because they did not make a specific prayer for fees. We find this argument has merit, but only to the extent that any fees awarded were for work unrelated to the injunction counts of the complaint. For reasons set forth, we reverse and remand for further proceedings.

At the time of this dispute, there were only two licensed home health care services in Okeechobee County: Shirley’s and the corporate defendant, All About You Caregivers, Inc.

The four individual defendants worked for Shirley’s and at the beginning of their professional employment relationship, allegedly signed non-compete contracts.

The four individual defendants eventually separated from Shirley’s and became employed by the other health care group, All About You, the corporate defendant. Thereafter, the four individual defendants continued to provide home health care services and in some cases, continued to service patients they had met through Shirley’s.

Shirley’s eventually entered a voluntary dismissal of all defendants (both corporate and individuals).

Shirley’s argues that the trial court erred in awarding fees to the corporate defendant based on a contract provision, because the corporate defendant was not a party to any contract. We agree and reverse the award of fees to the corporate defendant. Shirley’s also argues the court erred in awarding fees to the individual defendants because they did not make a specific prayer for fees. We find this argument has merit, but only to the extent that any fees awarded were for work unrelated to the injunction counts of the complaint. For the reasons set forth, we reverse and remand for further proceedings.

The plaintiff, Shirley’s, Inc., brought a complaint against the corporate defendant and the individual defendants, seeking in-junctive relief and damages based on the individual defendants’ alleged violation of non-compete agreements and the corporate defendant’s alleged interference with those agreements. Count I of the complaint alleged breach of contract by the individual defendants; count II alleged tortious interference of contract by the corporate defendant; and counts III and IV sought injunctions against the individual and corporate defendants, respectively.

The complaint reflected that each of the individual defendants executed a “Caregiver Referral Agreement,” which contains a non-compete provision and the following provision regarding attorney’s fees: “In the event suit to enforce this provision becomes necessary, Caregiver also agrees to pay Provider all expenses, court costs, and reasonable attorneys fees incurred by Provider in any suit for its breach, including, if necessary, fees and costs incurred on appeal.”

The corporate defendant filed its answer, which did not request fees. Days [827]*827later, the four individual defendants moved to bifurcate and, in essence, expedite the hearing on the injunction counts. Shirley’s did not object to the bifurcation and the trial court immediately directed the parties to submit a pretrial statement. The parties did so, and the statement contained the following acknowledgement by Shirley’s: “The parties understand that the Pre-Trial Order is directed toward the plaintiffs motion for preliminary injunction only.” The individual defendants also acknowledged the limited scope of the pretrial statement: “The parties understand that the Pre-Trial Order is directed toward the plaintiffs request for entry of a preliminary injunction only. No other matters in Plaintiffs Verified Complaint are at issue or ready for trial.” Under the section of the pretrial statement titled, “A specification of the damages and/or relief claimed,” the four individual defendants stated, “[the] attorney fee provision contained in the Caregiver Referral Agreements, is reciprocal and allows an award of attorneys fees and costs to the individual defendants.” The corporate defendant did not address fees in the pretrial statement.

Before the bifurcated injunction hearing was to be held, the parties entered into a joint stipulation withdrawing Shirley’s request for an injunction hearing. The individual defendants eventually filed an answer, which, like the corporate defendant’s, did not include a prayer for attorney’s fees.

Shirley’s then ultimately filed a notice of voluntary dismissal of all pending matters. Thereafter, the defendants (both corporate and individual) moved for attorney’s fees. The four individual defendants’ motion was based on the contract’s provision for fees, and section 57.105(7), Florida Statutes (2013), which allows for reciprocity of unilateral prevailing party attorney’s fees contractual provisions. The motion also sought fees based on section 542.22, Florida Statutes (2013), ■ a statute permitting fees under certain circumstances in cases related to monopolies and unlawful restraints on commerce. The corporate defendant’s motion was based entirely on section 542.22.

During a hearing on fees, the defendants, both corporate and individual, acknowledged their failure to request fees in their answer but argued that the error was not fatal because the pretrial statement placed Shirley’s on notice that all defendants were seeking attorney’s fees.

The trial court found that both corporate and individual defendants were entitled to fees: “I think based on the voluntary dismissal the defendants are clearly the prevailing parties under the contract and the operation of the applicable provision of Chapter 57.” The court determined that “the defendants’ entitlement to fees [was] salvaged by the inclusion of its intent to seek fees in the pre-trial stipulation and without an express objection to that by Plaintiffs attorney, there is an inference that it is acquiesced to.”

Specifically, based on the pretrial stipulation, the court found that “the attorney fee provision contained in the Caregiver Referral Agreements, is reciprocal and allows an award of attomeysf] fees and costs to the individual defendants.” The court found that Shirley’s, Inc. “waived its right to object to Defendants’ failures to plead an entitlement to attorney’s fees and costs.” The court awarded fees ,in an amount consistent with the evidence presented.

In a motion for rehearing, Shirley’s pointed out that the corporate defendant was not a party to the contracts. The court denied the motion.

The standard of review of an award of attorney’s fees is abuse of discretion. Campbell v. Campbell, 46 So.3d [828]*8281221, 1222 (Fla. 4th DCA 2010). However, any legal issue raised is subject to de novo review. See Save on Cleaners of Pembroke II Inc. v. Verde Pines City Ctr. Plaza LLC, 14 So.3d 295, 297 (Fla. 4th DCA 2009). The general rule is that “each party is responsible for its own attorneys’ 'fees unless a contract or statute provides otherwise.... ” Price v. Tyler, 890 So.2d 246, 251 (Fla.2004).

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Related

GONZALEZ v. COCONUT KEY HOMEOWNERS ASSOC., INC.
246 So. 3d 428 (District Court of Appeal of Florida, 2018)
Boswell v. Shirley's Personal Care Services of Okeechobee, Inc.
211 So. 3d 210 (District Court of Appeal of Florida, 2017)

Cite This Page — Counsel Stack

Bluebook (online)
165 So. 3d 824, 2015 Fla. App. LEXIS 8470, 2015 WL 3480289, Counsel Stack Legal Research, https://law.counselstack.com/opinion/shirleys-personal-care-services-of-okeechobee-inc-v-boswell-fladistctapp-2015.