Post details: Joint Proposal for Settlement Fails For Lack of Allocation / Attribution Between Recipients

November 24, 2008

Permalink 01:44 pm, by Christopher HOPKINS Email , 535 views

Joint Proposal for Settlement Fails For Lack of Allocation / Attribution Between Recipients

Getting the format of a Proposal for Settlement/Offer of Judgment correct in Florida state courts is hard enough. A Proposal can, but likely shouldn't, include an attached release. It can resolve all claims, or not.

Drafting a Proposal to more than one recipient ("joint" proposal for settlement) is even more difficult. Indeed, there is even a conflict between the First and Second DCA's on that issue.

Enter the Fourth District (May, Taylor and Hazouri) with Jacqueline Brower-Eger v. Lisa Noon, which finds -- as most courts before it -- that the failure to allocate a specific settlement amount payable by each joint recipient is fatal.

In this case, the defendant/homeowner was sued for not paying the plaintiff (a partnership) for home remodel work. The defendant's basis for non-payment is that the partnership (husband and wife) employed their daughter, who allegedly stole personal property. Once the collection suit was filed, the defendant counterclaimed against the partnership and sued the husband and wife.

At some point, the defendant served a joint proposal on all three opposing parties for $10,000. This was not accepted and trial followed with the defendant winning almost $14,000. The defendant sought fees under the Proposal for Settlement Rule and Statute as well as for the failure to admit request for admissions.

The Court held the Proposal was deficient because "it did not allocate the demand among the three plaintiffs." In an argument which the Court held to be "novel," the defendant argued that the apportionment requirement undermines joint and several liability in Florida Statutes 620.8306(1). Court was not impressed and declined "any deviation from the strict requirements of the statute and rule."

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