From Casetext: Smarter Legal Research

Ocala Warehouse Inv. v. Bison Co.

District Court of Appeal of Florida, Fifth District
Jul 21, 1982
416 So. 2d 1269 (Fla. Dist. Ct. App. 1982)

Summary

In Ocala Warehouse, the lessee filed a declaratory judgment action against the lessor over the interpretation of a rent escalation provision in the lease.

Summary of this case from Careers USA, Inc. v. Sanctuary of Boca, Inc.

Opinion

No. 81-1085.

July 21, 1982.

Appeal from the Circuit Court for Marion County, Carven D. Angel, J.

Jeffrey C. Roth of Fieldstone, Oliver, Sumberg Mondre, P.A., Miami, and Alan J. Kluger, Miami, for appellant.

Gregory J. Orcutt of Lawson, McWhirter Grandoff, Tampa, for appellant.


In this action filed by the lessor for a declaratory judgment, alleging a dispute with lessee regarding the interpretation of a rent escalation provision of a lease, the trial court found the lease unambiguous, and proceeded to determine the amount of basic rent to be paid and the adjustments thereto. The court also awarded costs and attorney's fees to lessee.

Lessor appeals, contending that the trial court did not correctly construe the lease, and that it erred in awarding attorney's fees to lessee. We agree that the lease is unambiguous and can be construed by the court, but we hold that the trial court erroneously construed one of the provisions thereof, and that it erred in awarding attorney's fees.

We hold that the lease clearly requires that the basic rent be increased by $15,950 when the mortgage payment due December 28, 1983 is paid. We agree with the trial court that there are no retroactive adjustments on this addition, and that cost of living adjustments thereon will be made prospectively after that date as required by the lease. There is no dispute between the parties as to the method by which the cost of living adjustments are made, nor as to the frequency thereof. Thus, using the projected figures agreed to by the parties and found by the trial court to be correct, the basic annual rental after the mortgage payment of $145,398.78 is made on December 28, 1983, will be $43,400, plus $15,950, or a total of $59,350, subject to cost of living adjustments thereafter, as and when provided for in the lease.

This figure represents the difference between the basic annual rent of $19,800 at the inception of the lease, and the basic rent of $35,750, specified to be paid following the making of the mortgage payment by lessor. This would be the difference between the two payments had there been no adjustment.

The award of attorney's fees to lessee was based on this provision of the lease:

In case suit is brought for the recovery of any rent or other sum due under the provisions of this lease or because of the breach of any other covenant herein contained on the part of Lessee to be kept or performed, Lessee shall pay to Lessor, if Lessor prevails in any such action or actions, all reasonable costs and attorney's fees incurred by the Lessor herein. If Lessee shall prevail in any action brought by Lessor or Lessee to enforce any of the provisions of this Lease, Lessor shall pay to Lessee all reasonable costs and attorney's fees incurred by Lessee.

Attorney's fees are generally not recoverable unless authorized by statute or contract. Estate of Hampton v. Fairchild-Florida Construction Co., 341 So.2d 759 (Fla. 1976). Both parties agree there is no statutory authorization for the attorney's fees involved. This is not a suit to recover rent or other sums due under the lease, nor is it based on any breach of the lease by the lessee. Neither did lessee prevail in any action brought by either lessor or lessee to enforce any provision of the lease. This was an action for declaratory relief, alleging a difference of opinion as to the amount of rent which was to be paid after December 31, 1983. No present delinquency was alleged nor was either party seeking to enforce any covenant thereof. Thus, nothing in the lease agreement entitles either party to recover attorney's fees under the restricted language of the quoted provision. See Chesterfield Company v. Ritzenheim, 350 So.2d 15 (Fla. 4th DCA 1977). It was error to award attorney's fees here.

The portion of the final judgment construing the intent of the lease as to future rent payments is affirmed as modified by this opinion. The portion of the final judgment awarding attorney's fees to appellee is reversed.

AFFIRMED in part; REVERSED in part.

SHARP and COWART, JJ., concur.


Summaries of

Ocala Warehouse Inv. v. Bison Co.

District Court of Appeal of Florida, Fifth District
Jul 21, 1982
416 So. 2d 1269 (Fla. Dist. Ct. App. 1982)

In Ocala Warehouse, the lessee filed a declaratory judgment action against the lessor over the interpretation of a rent escalation provision in the lease.

Summary of this case from Careers USA, Inc. v. Sanctuary of Boca, Inc.

In Ocala Warehouse Investments, Ltd. v. Bison Co., 416 So.2d 1269 (Fla. 5th DCA 1982), a lease provision providing for a fee award "in any action brought by Lessor or Lessee to enforce any of the provisions of this Lease" was held inapplicable in a declaratory judgment action concerning the interpretation of a rent escalation clause since the action did not involve allegations of a present delinquency, nor was either party seeking to enforce any covenant of the lease.

Summary of this case from Sanctuary of Boca, Inc. v. Careers USA, Inc.
Case details for

Ocala Warehouse Inv. v. Bison Co.

Case Details

Full title:OCALA WAREHOUSE INVESTMENTS, LTD., A FLORIDA LIMITED PARTNERSHIP…

Court:District Court of Appeal of Florida, Fifth District

Date published: Jul 21, 1982

Citations

416 So. 2d 1269 (Fla. Dist. Ct. App. 1982)

Citing Cases

Careers USA, Inc. v. Sanctuary of Boca, Inc.

GRIMES, Senior Justice. We have for review the decision in Sanctuary of Boca, Inc. v. Careers USA, Inc., 691…

Sanctuary of Boca, Inc. v. Careers USA, Inc.

We acknowledge the different result reached by the Third and Fifth Districts. In Ocala Warehouse Investments,…