NOT
FINAL UNTIL TIME EXPIRES TO FILE REHEARING
MOTION
AND, IF FILED, DETERMINED
IN
THE DISTRICT COURT OF APPEAL
OF
FLORIDA
SECOND
DISTRICT |
IN
THE DISTRICT COURT OF APPEAL
OF
FLORIDA
SECOND
DISTRICT
MELVIN
S. HOBBS and
SUZANNE
HOBBS,
Appellants/
Cross-Appellees,
v.
Case No. 2D04-4806
CHARLES
WEINKAUF, ROBERT
KRUEGER,
RONALD THOMPSON,
EUGENE
COX, and GRENELEFE
ASSOCIATION
OF CONDOMINIUM
OWNERS
NO. 1, INC., a Florida
corporation,
Appellees/
Cross-Appellants.
_______________________________
)
Opinion
filed August 25, 2006.
Appeal
from the Circuit Court for
Polk
County; J. Michael McCarthy, Judge,
and
Randall G. McDonald, Judge.
Christopher
L. Griffin and
Christopher
Torres of Foley &
Lardner
LLP, Tampa, for
Appellants/Cross-Appellees.
Eileen
B.Coe and Mark H. Ruff of
Alvarez,
Sambol, Winthrop & Madson, P.A.,
Orlando,
for Appellees/Cross-Appellants.
CANADY,
Judge.
This
case involves a dispute arising from the operation of the Grenelefe
Association of Condominium Owners No. 1, Inc. The
plaintiffs below, Melvin and Suzanne Hobbs, as
trustees of the Hobbs Revocable Trust, appeal a final judgment in
a nonjury trial adjudicating certain claims in favor
of Grenelefe and dismissing the claims against
certain members of Grenelefe's board of directors. Grenelefe and the
directors cross-appeal a claim that was adjudicated
in favor of the Hobbses. We affirm on the
issue raised in the cross-appeal without further comment. We also affirm
on two of the three issues raised by the
Hobbses in the appeal.
We
reverse, however, on the third issue in the appeal which relates to the
Hobbses' claim in count VI of their complaint that
Grenelefe failed to comply with the requirements
of section 718.111(12)(a)(11)(b), Florida Statutes (2001), concerning
Grenelefe's accounting records. The Hobbses sought an
injunction to compel Grenelefe to comply with
the statutory requirement that accounting
records be maintained "for each
unit." We conclude that the trial court erred in granting an
involuntary dismissal—pursuant to Florida Rule of
Civil Procedure 1.420(b)—of this claim after
the presentation of the Hobbses' case at trial.
Section
718.111(12) sets forth requirements concerning the maintenance of
the official records of condominium associations. Among the required
records are: "A current account and a
monthly, bimonthly, or quarterly statement of the account for
each unit designating
the name of the unit owner, the due date and amount of each assessment,
the amount paid upon the account, and the balance due."
§
718.111(12)(a)(11)(b) (emphasis added).
Section
718.303 provides, among other things, that a unit owner may bring
an action for injunctive relief for failure to comply with the
requirements of chapter 718. Among the actions
that may be brought under this provision are actions against an
association. § 718.303(1)(a).
The
evidence before the trial court included an affidavit given by the
general manager of Grenelefe. The affidavit states,
in pertinent part:
The
Association does not maintain an individual account for
each
unit owned by Sports Shinko. The Association does
maintain
a summary for all units owned by Sports Shinko
which
would show what was invoiced to and paid by Sports
Shinko
on account of all its units and the total balance owed
by
Sports Shinko.
Sports
Shinko was the owner of a large number of units in the Grenelefe
condominium, and other evidence relied on by
the Hobbses supported the averments in the affidavits.
Grenelefe
and the directors took the position—which apparently was accepted
by the trial court—that although Grenelefe did "not maintain an
individual account for each unit," the
summary accounting records were sufficient to comply with the
requirements of section 718.111(12)(a)(11)(b).
Grenelefe's
position is, however, inconsistent with the plain language of the
statute which requires that account information be maintained "for
each unit designating the name of the unit
owner, the due date and amount of each assessment, the
amount paid upon the account, and the balance due." §
718.111(12)(a)(11)(b). Grenelefe does not
maintain such account information for the individual units, and its
practice of utilizing summary accounting records does
not comply with the statutory mandate for the
maintenance of records "for each unit." The fact that
information with respect to the status of
individual units might be deduced from the summary accounting records
does not establish that the statutory requirements were satisfied. The
statutory requirements are designed to ensure
that condominium associations maintain readily understood
and accessible accounting records with respect to individual condominium
units.
We
reject Grenelefe's argument that the trial court's ruling on this claim
should be upheld because "no harm occurred as a
result of how [the accounting records] were
kept." A violation of the requirements of chapter 718 is itself a
harm for which section 718.303 authorizes
injunctive relief. The statute requires no additional showing
of harm. See Times Publ'g Co. v. Williams, 222 So. 2d 470, 476 (Fla. 2d
DCA 1969) (holding that statutory provision
granting circuit court jurisdiction to issue injunction
for violation of a statute "is the equivalent of a legislative
declaration that a violation of the statutory
mandate constitutes an irreparable public injury" and, therefore,
"a mere showing that the statute has been or is clearly about to be
violated fully satisfies" the requirement
of a showing of irreparable harm for injunctive relief) disapproved
on other grounds by Neu v. Miami Herald Publ'g Co., 462 So. 2d 821 (Fla.
1985).
In
view of the plain provisions of chapter 718 and the evidence adduced
by the Hobbses at trial, we conclude that the Hobbses
made a prima facie case against Grenelefe
under count IV. The trial court therefore erred in granting Grenelefe's
motion for involuntary dismissal. See Capital
Media, Inc. v. Haase, 639 So. 2d 632, 633 (Fla. 2d
DCA 1994) ("This court and others have
consistently held that on a motion for involuntary
dismissal, made at the close of plaintiff's case in a nonjury trial, a
trial court is limited to determining
whether or not the plaintiff has made a prima
facie case.").
Accordingly,
we reverse the judgment in favor of Grenelefe with respect to
count VI of the Hobbses' complaint. The case is remanded for further
proceedings not inconsistent with this
opinion.
Affirmed
in part, reversed in part, and remanded.
NORTHCUTT
and SALCINES, JJ., Concur.
August
25, 2006 |