Source: http://www.iclg.co.uk/practice-areas/litigation-and-dispute-resolution/litigation-and-dispute-resolution-2016/usa-florida
Timestamp: 2016-10-01 08:46:17
Document Index: 142352891

Matched Legal Cases: ['§1404', '§ 95', '§ 95', '§ 95', '§ 95', '§ 48', '§ 48', '§ 48', '§ 48', '§ 48', '§ 48', '§ 48', '§ 57', '§ 90', '§ 90', '§ 90', '§ 90', '§ 90', '§ 90', '§ 90', '§ 90', '§ 90', '§ 768', '§ 55', '§ 55', '§ 55', '§ 55', '§ 55', '§ 1', '§ 682', '§ 684', '§ 682', '§ 10']

USA - Florida - Litigation & Dispute Resolution 2016 · ICLG - International Comparative Legal Guides
Home Practice area Litigation & Dispute Resolution Litigation & Dispute Resolution 2016 USA - Florida
1.1 What type of legal system does your jurisdiction have? Are there any rules that govern civil procedure in your jurisdiction?
Florida is the third most populous state in the United States, with over 20 million people. Florida is widely recognised as the gateway to Latin America, with approximately 40% of the country’s exports to Latin and South America passing through Florida. In addition to international trade, Florida’s tourism and agriculture industries are world renowned. Florida boasts one of the lowest tax burdens in the country, with no personal state income tax and a corporate income tax rate of 5.5%, making its business tax climate fifth in the nation. Florida also has a burgeoning life sciences market, and continues to establish itself as a premier location for companies in the biomedical research, biotechnology, pharmaceutical, medical device and healthcare industries.
Florida has two parallel court systems, state and federal, that are governed by different rules. While Florida is a common law system with case law developed by appellate court decisions, the U.S. Constitution, Florida Constitution, numerous state and federal statutes, and federal, state and municipal regulations also govern. The Florida Code of Civil Procedure is the primary source of rules for civil procedure in Florida courts. Florida Rules of Judicial Administration, and each Circuit Court’s local rules also govern civil procedure in Florida courts. The federal courts are governed by the Federal Rules of Civil Procedure, and each of the U.S. District Courts has its own local rules. Many state and federal judges in Florida also have specific court rules and preferences which practitioners should consult. Filings of most court documents in Florida state courts (County, Circuit, District and Supreme Courts) must be done by electronic filing (e-filing) through the Florida Courts E-Filing Portal.
Florida has a two-tiered trial court system, comprising County and Circuit Courts. Each of Florida’s 67 counties has its own County Court, which handles traffic offenses, criminal misdemeanours and other less serious criminal matters and monetary disputes involving 15,000 USD or less. In addition, Florida has 20 judicial circuits. The Circuit Courts’ jurisdiction includes civil matters not assigned by statute to the County Courts, appeals from County Courts, monetary disputes involving more than 15,000 USD, as well as family law, probate, juvenile, tax, and felony criminal matters. Circuit Court decisions are appealed to one of the five Florida District Courts of Appeal, and ultimately the Supreme Court of Florida. Decisions of the Florida District Courts of Appeal are binding on all Circuit and County Courts within their respective districts and are considered persuasive authority as to Circuit and County Courts outside of such districts. The decisions of the Florida Supreme Court govern all Florida state courts. The federal system in Florida consists of U.S. District Courts for the Northern, Middle and Southern Districts, with appeals to the Eleventh Circuit Court of Appeals, and ultimately the U.S. Supreme Court. In both state and federal courts, factual disputes are generally presented to and resolved by a jury applying the relevant legal standards to the facts deduced from the evidence. Juries are selected in a random process from the public at large. The parties may waive their right to a jury in preference for a “bench trial” in which the judge decides all matters factual and legal.
Civil proceedings in state and federal courts in Florida include the following, in order:
Pleading. Generally, a plaintiff commences an action by filing and serving on the defendants a written complaint. The defendants respond by filing and serving either a legal challenge to the sufficiency of the complaint or an answer, setting forth defences and, potentially, counterclaims against the plaintiff or a third party. Florida courts permit amended pleadings once as a matter of course before service of the responsive pleading, within 20 days after service if no responsive pleading is permitted and the matter is not on the trial calendar or upon leave of court. Supplemental pleadings are permitted upon motion and leave of court. Discovery. Both state and federal courts in Florida have party-initiated discovery, in which parties request documents, information and admissions from the other parties. In general, the parties must provide requested documents and information if it is relevant to any party's claim or defence and not privileged or otherwise protected from disclosure by established doctrines. Whether in state or federal court, a party may not successfully object to a discovery request merely because the requested discovery would not be admissible at trial. As part of a larger raft of revisions, the Federal Rules of Civil Procedure were amended in late 2015 to clarify that a party’s entitlement to obtain discovery from another party is “proportional to the needs of the case”. Fed. R. Civ. P. 26(b)(1). Among other things, these recent rule amendments also increased the specificity with which a party must set forth its objections to a discovery request (Fed. R. Civ. P. 34(b)(2)(B)), set an earlier first date on which a party may serve discovery requests (Fed. R. Civ. P. 26(d)(2), 34(b)(2)(A)), and established standardised sanctions for failures to preserve electronically stored information (ESI) that should have been preserved in anticipation of litigation (Fed. R. Civ. P. 37(e)).
Federal courts also have an obligatory disclosure process that requires each party to identify documents and witnesses it intends to rely on for its claims and/or defences. Depositions of party witnesses are common, and attorneys are empowered to issue subpoenas to take depositions of third party witnesses. The discovery process has become very time-consuming and expensive in the vast majority of cases, in large part because of the proliferation and volume of ESI. Dispositive motions. Both state and federal courts have similar procedures for resolving claims and defences by a written motion for summary judgment. Fed. R. Civ. P. 56; Fla. R. Civ. P. 1.510. To resolve an issue by written motion in lieu of a trial, the moving party must show there are no disputes of material fact and that only legal issues are in dispute. Florida courts require a claimant waits at least 20 days from the commencement of the action to move for summary judgment and serve the motion and all supporting evidence at least 20 days prior to the hearing thereon. Fla. R. Civ. P. 1.510(a), (c).
Mediation. Non-binding mediation is routinely ordered by state and federal courts in Florida. Although a list of approved mediators is generally made available by the court, parties may agree upon a non-listed mediator. Trial. Any party may demand a jury trial on any issue triable of right by a jury by serving a written demand for a jury trial any time after the action begins and no later than 10 days after service of the last pleading directed to such issue. If a case proceeds to trial, factual disputes are resolved by a jury unless the parties waive their right to a jury. To prove their cases, the parties introduce oral and documentary evidence through live witness testimony. The parties’ attorneys question the witnesses. For a jury trial, the parties or the court develop written jury instructions that explain to the jury how to apply the law to the facts. The jury then provides a verdict. In a non-jury “bench trial”, the judge issues a decision in writing.
Judgment. The jury’s verdict or the Court’s decision is set forth in a formal written judgment that is entered into the Court records as the final resolution of the case. If the judgment is a monetary judgment for the plaintiff, the plaintiff can commence enforcing the judgment or discovery in aid of enforcement immediately upon entry, unless enforcement is stayed pending an appeal.
Appeal. After entry of judgment, parties have a very short time in which to file a notice of appeal (generally within 30 days) to contest the result. If an appeal is taken, a record of the trial court proceedings is prepared to provide all necessary information to the appellate court. The parties submit written briefs to the appellate court, but no further evidence or testimony is taken. Both federal and state courts have their own specific rules of appellate procedure.
State and federal courts both establish deadlines for various stages of proceedings but the pace and scope of litigation is principally driven by the parties. Florida Rule of Judicial Administration 2.250 provides that most civil jury cases should be completed within 18 months of filing, non-jury cases within 12 months of filing and small claims within 95 days of filing. Likewise, some Florida federal courts may set forth a typical “time-to-trial”. For example, the Middle District of Florida requires the Clerk of Court designate a case for future management on one of three “tracks”. M.D. Fla. Loc. R. 3.05. Trial in a Track Two (non-complex cases not designated as Track One cases) case should be conducted within two years after filing the complaint, with most cases being tried after one year of filing; and Track Three cases (complex cases) should be tried within three years of filing the complaint, with most cases being tried within two years of filing. M.D. Fla. Loc. R. 3.05(c)(2)(E), (c)(3)(D).
Contractual exclusive jurisdiction, or “forum selection”, clauses are generally enforced by Florida state and federal courts. Florida courts distinguish between permissive and mandatory forum selection clauses, with the former interpreted as mere consent to jurisdiction by a given court and the latter providing for exclusive jurisdiction by such court. An unambiguous mandatory forum selection clauses is presumptively valid absent a showing that it is unjust or unreasonable. A forum selection clause generally will not be found unjust or unreasonable unless it has the practical effect of depriving one party of its day in court. Federal courts will enforce a valid forum selection clause unless “extraordinary circumstances unrelated to the convenience of the parties clearly disfavour a transfer”. Atl. Marine Constr. Co. v. United States Dist. Court, 134 S. Ct. 568, 575 (2013); Elite Advantage, LLC v. Trivest Fund, IV, L.P., 15-22146-CIV, 2015 WL 4982997, at *5 (S.D. Fla. 2015). To enforce a forum selection clause in federal court, a party brings a motion to transfer under 28 U.S.C. §1404(a). Id. Parties cannot invoke the subject matter jurisdiction of a federal court by agreement. If the federal court does not have federal question or diversity jurisdiction over the matter (see question 3.1), the parties’ agreement on the jurisdiction of the federal court will not be enforceable.
1.5 What are the costs of civil court proceedings in your jurisdiction? Who bears these costs?
The overall cost of civil litigation in Florida varies greatly and is driven by the scope and complexity of each case. The initial cost to file a civil case in a Florida U.S. District Court is 400 USD. The filing fee to initiate a case in Florida state Circuit Court varies among counties but is typically 400 or 401 USD, depending on the county. Other costs, such as attorneys’ fees and discovery costs, typically dwarf administrative costs. Federal and Florida state courts follow the “American Rule” under which each party bears its own attorneys’ fees. Parties can depart from this rule by agreeing to a prevailing party provision in their contract that shift attorneys’ fees and costs to the losing party, and courts generally enforce such contract provisions. Florida courts interpret such provisions strictly, however, and will not award attorneys’ fees based on a contract unless it expressly provides for recovery thereof. See Hubbel v. Aetna Cas. & Sur. Co., 758 So. 2d 94, 97 (Fla. 2000). Additionally, there are a number of federal and state statutes that provide for recovery of attorneys’ fees and/or costs by the prevailing party. Attorneys’ fees often figure prominently in a party’s analysis of whether to settle a case or proceed to trial.
Although an attorney generally may not provide financial assistance to a client in connection with pending or contemplated litigation, he or she may advance court costs and litigation expenses, and repayment may be contingent on the outcome of the litigation. Fla. R. Prof. Cond.4-1.8(e). Contingency and conditional fee arrangements are generally permitted outside of domestic relations and criminal cases in Florida. Such agreements must be in writing, and the Florida Rules of Professional Conduct set out certain percentage thresholds and recovery amounts for various phases of litigation above which recovery by an attorney is presumptively unreasonable. Generally, an attorney may not acquire a proprietary interest in a cause of action or subject matter of litigation he or she is conducting for a client except that he or she may acquire a lien granted by law to secure payment for legal fees and expenses. 1.7 Are there any constraints to assigning a claim or cause of action in your jurisdiction? Is it permissible for a non-party to litigation proceedings to finance those proceedings?
Most causes of action are freely assignable in Florida except for those based on personal torts. Third party litigation funding is relatively new to Florida and the United States, however a number of litigation investment funds have been established in recent years. Although some courts have upheld third party litigation funding agreements, Florida state case law expressly defining the contours of what is permitted in these transactions is limited. One state court, in upholding such an agreement, noted the potential for confusion concerning the party who actually owns and controls the lawsuit and inadvertent waiver of the attorney-client privilege and invited the state legislature to explore potential regulation of the third party litigation funding industry. Fausone v. U.S. Claims, Inc., 915 So. 2d 626, 630 (Fla. 2d DCA 2005).
In most cases, there are no pre-suit formalities with which a plaintiff must comply prior to filing a lawsuit. Exceptions include a general requirement to exhaust administrative remedies where applicable (when filing suit against a government entity). Similarly, before filing a lawsuit asserting a claim against a government entity, a plaintiff is required to submit its claim to that entity. Likewise, certain state causes of action like claims for medical malpractice and civil theft require a plaintiff to make formal demand or give notice to the would-be defendant before initiating litigation. 2.2 What limitation periods apply to different classes of claim for the bringing of proceedings before your civil courts? How are they calculated? Are time limits treated as a substantive or procedural law issue?
The statute of limitations varies depending on the claim. For common law causes of action, both state and federal courts apply Florida law. The Florida Statues identify the statutes of limitation for categories of claims. Claims for breach of contract must be filed within five years of the date of breach when the contract is written and within four years of breach for oral contracts. Fla. Stat. §§ 95.11(2)(b), 95.11(3)(k). Claims based on negligence or fraud must be brought within four years. Fla. Stat. §§ 95.11(3)(a), 95.11(3)(j). Claims for injury to person or property must be brought within four years of the injury. Fla. Stat. §§ 95.11(3)(e) 95.11(3)(h). A four-year statute of limitations also applies to statutory causes of action. Fla. Stat. §§ 95.11(3)(f).
Courts strictly adhere to statutes of limitation except in circumstances where a basis exists to “toll” the time period. For example, under certain circumstances, the “delayed discovery” doctrine may serve to toll the statute of limitations until such time as the plaintiff discovered or reasonably should have discovered the injury in question. Where the statutes of limitations of multiple states are implicated, Florida courts will apply the “most significant relationship” conflict of laws analysis to determine the applicable state’s statute of limitations. 3
In virtually all cases, a civil action is deemed commenced when a plaintiff files its complaint or petition in the appropriate court. Once the civil action is commenced, the court issues a summons notifying the defendants that a lawsuit has been filed against them. The plaintiff is responsible for ensuring proper service of the summons and complaint on each defendant within the specified time limit. In Florida state court a plaintiff must serve the summons and complaint within 120 days. Fla. R. Civ. P. 1.070(j). In federal court service must be made within 90 days. Fed. R. Civ. Proc. 4(m). Florida statutes provide detailed rules governing options and requirements for service of process. The Federal Rules of Civil Procedure provide for certain service options but also authorise service by any means authorised under the laws of the state in question. Fed. R. Civ. Proc. 4(e)(2)(B). Generally, service may be made on an individual in one of the following ways:
Personal service upon the individual defendant. Fla. Stat. § 48.031(1)(a); Fed. R. Civ. Proc. 4(e)(2)(A);
Leaving copies at the individual’s usual place of abode with any person of appropriate age and discretion. Fla. Stat. § 48.031(1)(a); Fed. R. Civ. Proc. 4(e)(2)(B);
Under certain circumstances, including inability to effect personal service due to difficulty in identifying a physical address through public records, substitute service may be made to a competent individual at the defendant’s residence or place of business, or by mailing to the defendant’s address. Fla. Stat. § 48.031(6); Fed. R. Civ. Proc. 4(e)(2)(B), 4(e)(1). The plaintiff may ask the defendant to agree to accept service by mail by signing a written notice and acknowledging receipt. A defendant that agrees to service by mail is entitled to additional time to respond to the complaint. A defendant that denies such a request is entitled to standard service of process but is required to assume liability for the plaintiff’s cost to serve using alternative means. Fla. R. Civ. P. 1.070(i); Fed. R. Civ. Proc. 4(d). Service of process on Florida business entities is similarly governed by a detailed statutory scheme that provides for service on a registered agent or a descending hierarchy of individual representatives. Fla. Stat. §§ 48.061, 48.062, 48.081. In certain circumstances, service can be effected upon a limited liability company by serving the Secretary of State. Fla. Stat. § 48.062(3). In most circumstances, service of process on persons outside of Florida is to be in the same manner as service within the state. Fla. Stat. § 48.194(1). Service of foreign process issued by a court in a state other than Florida generally is done in the same manner as service of processed issued by a Florida court. Fla. Stat. § 48.195(1). Because the United States is a signatory to the Hague Convention, litigants in Florida federal and state courts are generally required to comply with the provisions of the Hague Convention when serving a defendant outside of the United States. 3.2 Are any pre-action interim remedies available in your jurisdiction? How do you apply for them? What are the main criteria for obtaining these?
Florida state and federal courts do not allow interim remedies before a civil action is commenced. Once a complaint or petition is filed, but prior to completion of service, under certain circumstances, a plaintiff may request the court grants a temporary injunction to preserve the status quo pending adjudication of the action. To prevail, a party seeking a temporary injunction must show: (1) likelihood of irreparable harm; (2) unavailability of an adequate remedy at law; (3) a substantial likelihood of success on the merits; and (4) the relief sought is not inconsistent with public interest. Naegele Outdoor Adver. Co. v. City of Jacksonville, 659 So. 2d 1046, 1047 (Fla. 1995).
In some circumstances, the plaintiff may be able to convince the court to issue a temporary injunction without notice and an opportunity to be heard by the defendant. This is an extraordinary remedy and only granted upon, among other things, a verified showing that grave injury, loss, or damage will result to the movant before the adverse party can be heard in opposition. 3.3 What are the main elements of the claimant’s pleadings?
In federal court, a plaintiff need only set forth a “short and plain statement of the claim showing that the pleader is entitled to relief”, that is “plausible” as pled. Ashcroft v. Iqbal, 556 U.S. 662, 677-78 (2009); Fed. R. Civ. P. 8(a)(2). Florida state courts similarly require a short and plain statement of the ultimate facts showing that the pleader is entitled to relief and a demand for judgment for the relief to which the pleader deems himself or herself entitled. Fla. R. Civ. P. 1.110(b). Claims are comprised of multiple “elements”. For example, a negligence claim requires that there be a duty owed to the plaintiff by the defendant, a breach of that duty, and damages proximately caused by that breach. To state a legally sufficient claim, the plaintiff must plead facts which, if taken as true, satisfy each element of each of its claims. Both Florida state and federal rules require certain claims (e.g., fraud or mistake) to be pled with particularity and more specific factual detail. 3.4 Can the pleadings be amended? If so, are there any restrictions?
Florida rules permit any pleading to be amended once, without leave of the court, at any time before the defendant files a responsive pleading. Fla. R. Civ. P. 1.190(a). Thereafter, a party may only amend its pleading with leave of the court or the written consent of the opposing party. Id. Requests to amend are generally granted by Florida courts. The federal rules allow an amendment of any pleading once, without leave, within 21 days of serving it, or within 21 days of the opponent’s service of a responsive pleading or motion under Rule 12 (b), (e), or (f), whichever is earlier. Fed. R. Civ. P. 15(a)(1). Otherwise, the parties must obtain the court’s permission or the opposing party’s written consent to amend. Like state courts, federal courts are to freely permit amendments “when justice so requires”. Fed. R. Civ. P. 15(a)(2). 4
After service of a summons and complaint, the defendant may respond by either filing an answer, answer and counterclaim, or a legal challenge to the sufficiency of one or more of the plaintiff’s claims, also known as a motion to dismiss. An answer is required to state in short and plain terms the pleader’s defences to each claim asserted and to admit or deny the allegations of the complaint. Fla. R. Civ. P. 1.110(c); Fed. R. Civ. P. 8(b). In general, any allegation not specifically denied is deemed admitted. Fla. R. Civ. P. 1.110(e); Fed. R. Civ. P. 8(b)(3). Affirmative defences and counterclaims for set-off are permitted. Generally, the defendant in both Florida state and federal courts is required to assert any claims it may have against the plaintiff that (1) arise out of the transaction or occurrence that is the subject matter of the opposing party’s claim and (2) do not require the presence of third parties over whom the court cannot acquire jurisdiction. Fla. R. Civ. P. 1.170(a); Fed. R. Civ. P. 13. In contrast, a permissive counterclaim, one that does not arise out of the same transaction or occurrence as the present action, may be raised in the present action or a subsequent action. Florida Rules of Civil Procedure 1.170(b); Fed. R. Civ. P. 13(b). Failure to raise compulsory counterclaims results in such claims being barred in subsequent actions. However, in certain instances the pleader may amend its pleading with the counterclaim with leave of court.
In general, unless a different time is prescribed by statute or service of process is waived, a defendant in a Florida state civil action must serve a response to a complaint or petition within 20 days after service of original process and the initial pleading. Fla. R. Civ. P. 1.140(a)(1). A defendant in federal court has 21 days to respond unless it waived service of process, in which case it has 60 days to respond. Fed. R. Civ. P. 12(a)(1)(A). If the defendant files a motion challenging the legal sufficiency of the complaint, it will have 14 days after a denial of that motion to file the answer in a federal civil action, and 10 days to file the answer in a state civil action. Fed. R. Civ. P. 12(a)(4)(A); Fla. R. Civ. P. 1.140(a)(3). If the defendant files counterclaims, the plaintiff must respond to that pleading in the same manner as the defendant is required to respond to the initial complaint, either by answering or challenging the legal sufficiency of the claims.
Once a civil action is commenced, a defendant may file and serve a complaint on a person not already a party to the action who is or may be liable to the defendant for all or part of the plaintiff’s claim against the defendant. Fla. R. Civ. P. 1.180(a). A defendant may file such a complaint without leave of the court within 20 days of service of its answer to the original complaint and with leave of the court thereafter.
Under the federal rules, third parties similarly may be joined if they are either necessary or indispensable, with different procedures and requirements for each type. Fed. R. Civ. P. 19. Under the federal rules a defendant can also join in a third party it believes to be liable for the claims being asserted against it by bringing an impleader action. Fed. R. Civ. P. 14. Alternatively, in most cases, a defendant may initiate a separate action against a potentially liable third party after the present action has concluded. 4.4 What happens if the defendant does not defend the claim?
Florida state and federal courts both provide a mechanism whereby a party seeking relief may seek, and the court may enter, a default judgment against a defendant who fails to respond timely to the complaint. Fla. R. Civ. P. 1.500; Fed. R. Civ. P. 55. When a plaintiff obtains a default in a suit seeking unliquidated damages, the default only establishes liability, and the plaintiff must still prove its damages after notice to the defaulting party. Sec. Bank, N.A. v. BellSouth Advert. & Pub. Corp., 679 So. 2d 795, 798 (Fla. 3d DCA 1996) approved, 698 So. 2d 254 (Fla. 1997); Fed. R. Civ. P. 55(b)(1)-(2). A defaulted defendant may serve and file a notice of motion to set aside the default or default judgment and for leave to defend the action in the proper court if it can show the existence of a meritorious defence and good cause for not timely responding to the complaint, such as a lack of proper service, excusable neglect, or a lack of personal jurisdiction over the defendant by the court. Fla. R. Civ. P. 1.540; Andrade v. Andrade, 720 So. 2d 551, 552 (Fla. 4th DCA 1998); Fed. R. Civ. P. 60(b). 4.5 Can the defendant dispute the court’s jurisdiction?
In both Florida and federal courts, a defendant may challenge the court’s jurisdiction over the defendant (personal jurisdiction) or the claims (subject matter jurisdiction). In Florida state and federal courts, a defendant may challenge personal or subject matter jurisdiction over the case or person, respectively, through a timely motion to dismiss. Fla. R. Civ. P. 1.140(b)(1)(2); Fed. R. Civ. P. 12(b)(1), (2). A defendant’s challenge to personal jurisdiction is waived if not raised in the initial response to the complaint. Challenges to subject matter jurisdiction, however, cannot be waived. To the contrary, a federal court may take up a potential lack of subject matter jurisdiction sua sponte. 5
An existing party to litigation can seek the joinder of third parties as set out in question 4.3. A third party claiming an interest in pending litigation may request court permission to “intervene” in ongoing litigation (without the consent of the parties) to protect its interest in the property or transaction that is the subject of the action. Fla. R. Civ. P. 1.230; Fed. R. Civ. P. 24. Additionally, to avoid potential exposure to double or multiple liability, a party that holds property in which it does not claim an interest, but in which others claim an interest, may initiate an “interpleader” action. Such an action permits the interpleading plaintiff to deposit the contested funds or property into the court registry to allow the other parties to litigate their disputed claims to it. Fla. R. Civ. P. 1.240; Fed. R. Civ. P. 20. 5.2 Does your civil justice system allow for the consolidation of two sets of proceedings in appropriate circumstances? If so, what are those circumstances?
When actions involving a common question of law or fact are pending before a state or federal court, it may order a joint hearing or trial of any or all the matters in issue in the actions. Fla. R. Civ. P. 1.270(a); Fed. R. Civ. P. 42(a). In the interest of cost and efficiency, actions may be consolidated for purposes of discovery, a joint hearing or trial. Plaintiffs in Florida and federal courts may also move to proceed as a “class” and seek relief on behalf of a large group of similarly situated persons or entities who purport to share the same claim against the defendant under materially similar facts. For a court to certify the most common type of class action, the plaintiff must show that (1) the size of the proposed class makes joinder impractical, (2) the plaintiff—or “class representative”—will fairly and adequately represent the absent class members, (3) the class representative’s claims are typical of each class member’s claims, (4) at least some issues of fact and/or law are common among the claims of the class representative and the proposed class, and (5) those common issues predominate over issues of law or fact individual to the class representative or members of the proposed class. Fla. R. Civ. P. 1.220; Fed. R. Civ. P. 23. Class actions are governed by complex procedures and are commonly brought by consumers, shareholders of public corporations, and employees.
In the interest of convenience or to avoid undue prejudice, both Florida state and federal courts have discretion to order a separate trial of any claim, crossclaim, counterclaim, or third-party claim or of any separate issue or of any number of claims, crossclaims, counterclaims, third-party claims, or issues. Fla. R. Civ. P. 1.270(b); Fed. R. Civ. P. 42(b). By way of example, a court may bifurcate a trial to first resolve threshold issues that may obviate the need to resolve subsidiary factual disputes, thus reducing the length and complexity of the proceeding. 6
Florida’s court system is hierarchical, with jurisdiction divided among courts based on the characteristics of the dispute (e.g., monetary amount in dispute, nature of the civil case, involvement of government entity). For example, civil cases in which up to 5,000 USD is in dispute are heard before the Small Claims Court. Florida’s County Courts – one for each of Florida’s 67 counties – hear civil disputes ranging from 5,001 USD to 15,000 USD. Any civil cases involving more than 15,000 USD and appeals from County Courts are heard before one of Florida’s 20 regional Circuit Courts. Federal courts in Florida consist of District Courts and Bankruptcy Courts. The federal court system also has a few specialty courts, including a Tax Court that handles federal taxation matters and a Court of Federal Claims that handles claims for money damages asserted against the federal government. Additionally, patent law issues are handled within the federal system, and the Patent Trial and Appeal Board decides certain issues of patentability in an administrative trial and appeal process. The Middle District of Florida has become a favourable venue for filing patent infringement cases because of its median time-to-trial, and for its median trial wins for plaintiffs. Unless a civil matter must be resolved by one of the specialty courts, the District Courts take all civil cases within their subject matter jurisdiction. In Florida federal civil cases, certain aspects of the litigation (discovery disputes in particular) often are handled by magistrate judges in the district.
Judges in both federal and Florida courts are given broad case management powers to promote efficiency and economical use of resources. Parties and their counsel are commonly invited to confer and jointly propose schedules and deadlines to the court, which has significant discretion to accept or modify the parties’ requests. Active case management may include: designation of cases as “complex”, subject to different procedures; setting firm trial dates; requiring parties to engage in mediation and settlement discussions; and holding all parties to a schedule established early by the court. Parties can apply to the court for interim relief as needed. The most common of such applications pertain to discovery disputes. Motions to compel compliance with or further responses to discovery requests may be assigned to a magistrate judge or, in Florida state courts, a special master appointed by the Court. Cases involving extensive motion practice and discovery often result in significantly higher costs to the parties.
Both state and federal courts in Florida have authority to impose sanctions on parties or their attorneys for a variety of misconduct. By statute, Florida judges may impose sanctions on parties and/or their attorneys for filing papers that (a) were not supported by the material facts necessary to establish the claim or defence; or (b) would not be supported by the application of then-existing law to those material facts. Fla. Stat. § 57.105. Florida courts may also impose sanctions for violations of the court’s discovery orders. Fla. R. Civ. P. 1.380.
Federal courts also require a party’s attorney to certify that each filed paper is not for an improper purpose. Fed. R. Civ. P. 11. Sanctions imposed by the court are limited to “what is sufficient to deter” further conduct of the same manner in the future. Fed. R. Civ. P. (11)(c)(4). Such sanctions may include payment of a monetary penalty to the court or payment of the opposing party’s legal fees incurred to bring the motion. Fed. R. Civ. P. 11(c)(2).
Courts are empowered to use increasing levels of sanctions to compel compliance with discovery; monetary sanctions are imposed first, but parties who do not comply may face adverse jury instructions or, in unusual cases, terminating sanctions (dismissal or default). Fed. R. Civ. P. 37.
6.4 Do the courts in your jurisdiction have the power to strike out part of a statement of case? If so, in what circumstances?
A Florida court may – upon a party’s motion – strike all or part of any pleading complaint that is “redundant, immaterial, impertinent, or scandalous”. Fla. R. Civ. P. 1.140(f). Motions to strike face a very high burden, are not favoured by Florida courts, and are, consequently, not commonly granted. See Costa Bella Dev. Corp. v. Costa Dev. Corp., 445 So. 2d 1090 (Fla. 3d DCA 1984).
Both state and federal courts in Florida permit disposition of claims or defences, or an entire complaint, by written submission to the Court. Fla. R. Civ. P. 1.510; Fed. R. Civ. P. 56. Such motions are called “motions for summary judgment” (if challenging the entire complaint) or for “partial summary judgment” (if only portions of a complaint or defences are challenged). A court may grant such a motion if there are no material facts in dispute and the moving party is entitled to judgment as a matter of law on the issue in question. Courts in Florida typically grant a hearing on the motion for summary judgment before issuing a decision.
Both Florida and federal courts may stay proceedings under certain circumstances on the motion of a party or the court’s determination. Stays of proceedings or judgments are most commonly sought in Florida courts under Fla. R. App. P. 9.310 in connection with interlocutory appeals or requests to suspend execution on judgments pending appeals of final awards. Some stays are mandatory, such as when a defendant files a bankruptcy petition.
7.1 What are the basic rules of disclosure in civil proceedings in your jurisdiction? Are there any classes of documents that do not require disclosure? Are there any special rules concerning the disclosure of electronic documents?
Florida courts do not have a system of voluntary disclosure of documents and information as in the federal courts. See question I.1.3 above. Instead, all documents and information are exchanged through the party-initiated discovery process described in question I.1.3 above. Mechanisms for discovery in both state and federal courts include requests for documents, interrogatories, depositions, third party subpoenas for depositions and/or documents, and requests for admissions. Parties often also engage in independent investigations to ascertain the underlying facts, witnesses and documents relevant to the case.
Florida state and federal courts have similar rules concerning the production or disclosure of electronic documents and information. Parties may request production of ESI (defined above in question I.1.3) and may specify the manner in which the information is produced. If the party requesting discovery does not specify the manner for production of ESI, the producing party may produce the information in the manner in which it is maintained, or an alternate, reasonable method. Fla. R. Civ. P. 1.350(b); Fed. R. Civ. P. 26, 34. Production of metadata identifying the author, recipient, date created or modified, date sent, subject or title, attachment ranges, and other information about the document is common. Acknowledging the great potential for disputes arising from the production of ESI, Florida state and federal courts encourage parties to agree in advance upon a method for producing ESI. In federal court, parties are required to meet and confer before discovery to negotiate a discovery plan which includes, among other things, the form in which ESI will be produced. Specific courts and judges may also have their own rules concerning production of ESI. Parties should check the rules for their court before requesting or producing ESI. Florida and federal courts show increasing awareness of the costs and burdens associated with the production of ESI. In recent years they have sought to place limits upon the discovery to ensure the burden is proportionate to the need for the discovery. See, e.g., Fla. R. Civ. P. 1.280(d). Federal Rule of Civil Procedure 26 limits discovery to information that is relevant to the claims and defences and proportional to the needs of the case. It also specifically allows courts to limit production of ESI if it is not reasonably accessible or would be unduly burdensome to produce. Despite these limitations, production of ESI remains the costliest part of discovery in many cases. 7.2 What are the rules on privilege in civil proceedings in your jurisdiction?
Florida and federal courts permit a party to withhold certain information if it is protected by a valid privilege or immunity. Privileges in Florida courts are limited to those set forth in the Florida Evidence Code: (1) attorney-client communications (including protection of the attorney’s work-product); (2) spousal communications; (3) physician-patient communications; (4) psychotherapist-patient communications; (5) clergy-penitent communications; (6) sexual assault victim-counsellor communications; (7) domestic violence advocate-victim communications; (8) trade secrets; (9) accountant-client communications; and (10) professional journalist communications. Fla. Evid. Code §§ 90.501-506. Common privileges recognised in federal courts are the privilege for attorney-client communications, attorney work product protection, and the Fifth Amendment right not to incriminate oneself. Failure to assert a privilege may result in waiver.
Both state and federal courts in Florida permit parties to the litigation to compel third parties to testify or produce documents. Fla. R. Civ. P. 1.351, et seq.; Fed. R. Civ. P. 45. In Florida courts, parties seeking third party discovery must provide notice of their intent to serve a subpoena upon a third party at least 10 days before the subpoena is issued. The other parties to the litigation may object within 10 days of the subpoena’s service, and may also file a notice of request for copies upon the serving party in order to ensure receipt of any documents produced in response to the subpoena. 7.4 What is the court’s role in disclosure in civil proceedings in your jurisdiction?
Discovery is conducted by the parties in both state and federal courts, subject to the court’s oversight. If a party does not comply with its discovery obligations, the other party may seek court intervention to compel compliance at the risk of sanctions. Sometimes, a party may request the court to issue a protective order to avoid production of certain categories of information, such as documents protected by a privilege or confidential and proprietary business records containing carefully guarded trade secrets. A party also may seek to limit the scope of discovery – particularly discovery of voluminous ESI – on the grounds the burden and expense of gathering the information far outweighs the potential benefit such information will provide to the other party. Fla. R. Civ. P. 1.280. 7.5 Are there any restrictions on the use of documents obtained by disclosure in your jurisdiction?
In both state and federal courts, a party may seek a protective order to restrict the other party’s ability to obtain or use certain kinds of information from them. Fla. R. Civ. P. 1.280(c); Fed. R. Civ. P. 26(c)(1). The court may grant such a motion “for good cause”, such as, in state court, to avoid “annoyance, embarrassment, oppression, or undue burden or expense that justice requires”.
Among other things, a protective order may provide that trade secrets or other confidential research, development, or commercial information not be admitted or be admitted only in certain ways. Additionally, parties may agree to a “stipulated protective order” (which is then entered as an order of the court) that governs the treatment of confidential information in the lawsuit.
Florida courts follow the rules of evidence contained in the Florida Evidence Code, Fla. Stat. § 90.101, et seq. Federal courts follow the Federal Rules of Evidence. There are many similarities between the two sets of rules, but they are not identical. 8.2 What types of evidence are admissible, which ones are not? What about expert evidence in particular?
In both Florida and federal courts, evidence (whether testimonial or documentary) is admissible if it is relevant to an issue in dispute, competent, a proper foundation for its admission has been made, and it is not barred by any exclusion. Evidence is relevant if it is likely to prove or disprove any fact that is at issue in the proceeding. Evidence is competent if it satisfies certain traditional requirements of reliability that are established by statute and case law. For example, hearsay evidence (i.e., out of court statements used to prove the truth of the matter asserted) is often excluded because it is not considered to be reliable. There are, however, numerous established exceptions to the prohibition against hearsay evidence due to the existence of satisfactory indicia of reliability (such as a party’s admission against its own interest, or a record made and kept in the ordinary course of business). Federal Rule of Evidence 403 and Fla. Stat. § 90.403 allow a court to exclude evidence if it determines that the probative value of admitting that evidence is substantially outweighed by the probability that it will result in (a) needless presentation of cumulative evidence, (b) unfair prejudice, (c) confusion of the issues, or (d) misleading the jury. Expert witness testimony is admissible in Florida courts if it is (1) delivered by a qualified expert (e.g., by knowledge, skill, experience, training, or education); (2) on a subject requiring scientific, technical, or other specialised knowledge; and (3) reasonably calculated to assist the trier of fact. Fla. Stat. § 90.702
Similarly, Federal Rule of Evidence 702 governs the admissibility of expert testimony in federal court. It requires “(a) the expert’s scientific, technical, or other specialized knowledge will help the trier of fact to understand the evidence or to determine a fact in issue; (b) the testimony is based on sufficient facts or data; (c) the testimony is the product of reliable principles and methods; and (d) the expert has reliably applied the principles and methods to the facts of the case”.
Florida law presumes that “[e]very person is competent to be a witness”. Fla. Stat. § 90.601. Rather than being qualified in advance, as in many states, in Florida a witness is only disqualified if he or she is determined by the court to be incapable of being understood (interpretation is permitted) or understanding the duty to tell the truth. Fla. Stat. §§ 90.603. The question of a witness’s competency is decided by the judge. Fla. Stat. § 90.105(1).
In Florida and federal courts, expert opinion testimony is permitted according to specific rules. For example, in Florida, expert testimony may be permitted if “scientific, technical, or other specialised knowledge will assist the trier of fact in understanding the evidence or in determining a fact in issue”. Fla. Stat. § 90.702.
The expert’s testimony is considered “opinion testimony” and must be based on sufficient facts and data, using reliable principles and methods, and applying the principles and methods reliably to the facts of the case. Fla. Stat. § 90.702. Expert qualifications and the admissibility of expert opinion testimony are often heavily litigated. Although experts are subject to the same obligation as fact witnesses to provide truthful testimony, they are hired by the respective parties and are sometimes criticised for being no better than a paid witness. Reputable experts therefore work hard to maintain their independence and objectivity. Experts typically prepare a written report, often with the assistance of counsel, which is provided to the other parties. The expert witness is then deposed by opposing counsel about his qualifications and opinions. The opposing party often seeks to discredit the expert’s opinions by, for example, establishing an inadequate methodology or factual basis for the opinions, or by showing the expert lacks the requisite skill and knowledge to opine on the subject matter.
In Florida, state and federal courts may issue a variety of orders and judgments in civil proceedings. The courts have authority to issue orders effecting all phases of the proceedings. For example, scheduling orders are issued by the court at the very beginning of each case to establish the procedural schedule through trial. At the conclusion of a case, the court will enter a final judgment, which officially concludes the case at the trial court level. Courts may enter a judgment ordering a party to pay an award of money damages to remedy the harm caused to the plaintiff or, less frequently, to take a specific action (called “specific performance”). Declaratory judgments are another category of judgments issued by the courts, and are intended to resolve legal disputes regarding the parties’ rights and duties. Common examples of declaratory judgments include interpreting contractual provisions.
State and federal courts both have the ability to award money damages. For example, compensatory damages are intended to remedy harm and return the party to its pre-injury position. Florida law permits the recovery of lost profits if the loss is the natural result of the wrong and the amount can be established with reasonable certainty. Conner v. Atlas Aircraft Corporation, 310 So. 2d 352 (Fla. 3d DCA 1975). Florida courts are authorised to award punitive damages in cases where the defendant “was personally guilty of intentional misconduct or gross negligence”. Fla. Stat. § 768.72. Punitive damages are intended to punish a party for particularly egregious conduct and deter similar behaviour in the future. Engle v. Liggett Group, Inc., 945 So. 2d 1246 (Fla. 2006).
Courts may award pre-judgment (i.e., for the time between when the damages are liquidated and the final judgment is issued) and post-judgment (i.e., the time between the entry of the judgment and when it is paid) interest on the amount of the award. Lumbermens Mut. Cas. Co. v. Percefull, 653 So. 2d 389 (Fla. 1995). Courts may also award post-judgment interest at the rate of 4.75% per annum. See Fla. Stat. § 55.03(1).
Money judgments are not self-executing. If the party against whom the judgment is entered does not voluntarily pay it, the plaintiff must locate assets of the defendant against which it can “execute” the judgment by further court order. Florida law follows different procedures depending on the origin of the judgment for which enforcement is sought. Judgments from other states in the United States (i.e., those “entitled to full faith and credit”) are subject to the Florida Enforcement of Foreign Judgments Act. On the other hand, judgments from outside the United States are subject to the Uniform Out-of-country Foreign Money-Judgment Recognition Act. Fla. Stat. § 55.501, et seq.
The U.S. Constitution ensures that a final judgment from any state within the United States is entitled to the same “full faith and credit” in every other state as in the state where the judgment originated. Thus, a judgment from another state can be enforced in Florida to the extent that it could be enforced in the state where it was issued. In Florida, this is done pursuant to the Florida Enforcement of Foreign Judgments Act, which merely requires that the judgment be recorded. Fla. Stat. § 55.501, et seq. Likewise, a Florida judgment can be enforced throughout the United States according to the rules of the state in which enforcement is sought. Judgments of foreign countries are not treated with the same deference. Rather than the extremely expedited process established for U.S. judgments, they must follow the more complex procedures required by the Uniform Out-of-country Foreign Money-Judgment Recognition Act, Fla. Stat. § 55.501, et seq., which include the possibility of objections to recognition and enforcement of the judgment based on grounds enumerated in the statute, including, for example, lack of jurisdiction over the matter by the foreign court or a systematic failure to provide impartial tribunals or meet the requirements of due process of law. Fla. Stat. § 55.605.
In Florida state courts, a final order may be appealed to one of Florida’s five District Courts of Appeal. A party must file a Notice of Appeal within 30 days of the entry of the final order. Fla. R. App. P. 9.100. Florida’s Supreme Court is a court of limited jurisdiction and accepts cases only falling within the categories enumerated in the Florida Constitution. Fla. Const. Art. V. The Florida Rules of Appellate Procedure governing proceedings before Florida’s District Courts of Appeal and Supreme Court. A judgment from one of the U.S. District Courts in Florida may be appealed to the Eleventh Circuit Court of Appeals. A Notice of Appeal must be filed generally within 30 days of entry of judgment. The Federal Rules of Appellate Procedure govern procedures before the U.S. Circuit Courts of Appeals. 10
Both federal and state courts in Florida have authority to order parties to engage in settlement discussions. Settlement conferences often take place before a judge other than the judge overseeing the case. While the courts cannot force the parties to settle, they can and increasingly do require the parties to negotiate in good faith. In a few cases, the court has issued monetary sanctions against parties for not attending the mandatory settlement conference or not negotiating in good faith by refusing to engage in reasonable discussions about the merits of the case.
In addition to court-ordered settlement conferences, federal and state courts offer a variety of voluntary alternative dispute resolution programs to facilitate settlement. One commonly used device is the Early Neutral Evaluation (“ENE”). The ENE is an opportunity for parties to meet with an evaluator – usually another lawyer or magistrate judge – with the goal of resolving the case in its initial stages and before either side incurs extensive costs. The evaluator typically hears from each side and provides a non-binding opinion concerning the strengths and weaknesses of the claims and defences in the case, but may also mediate a settlement. The proceedings in an ENE or mediation in Florida are confidential and no prejudice or liability attaches to the parties based upon the evaluator’s assessment of the case or statements made in the proceedings.
Binding arbitration is very common in Florida, especially in the context of international, business, employment, labour, and consumer disputes. Florida courts routinely enforce pre-dispute arbitration agreements. In addition, both consensual and court-ordered mediation also are common, and most civil cases in Florida are mediated at some point. Though less frequent, judges also may mediate mandatory settlement conferences with litigants.
The Federal Arbitration Act, 9 U.S.C. § 1, et seq., Revised Florida Arbitration Code, Fla. Stat. § 682.01, et seq., and Florida International Commercial Arbitration Act, Fla. Stat. § 684.0001, et seq., govern arbitration in Florida. The Federal Arbitration Act governs arbitration concerning contracts that deal with interstate and maritime commerce. It also generally governs with regard to international arbitration. The Revised Florida Arbitration Code and Florida International Commercial Arbitration Act govern arbitration in Florida that falls outside the federal subject matter jurisdiction or that the parties otherwise opt not to remove to U.S. federal courts.
The United States is also a signatory to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards (“New York Convention”). Under the New York Convention, foreign arbitral awards are confirmed in a U.S. District Court by a summary motion for confirmation. Unless one of the grounds for refusing recognition and enforcement of an award listed in the New York Convention exists, the court must enter judgment on the award. This framework also has been adopted by the Florida International Commercial Arbitration Act. That judgment then can be enforced in Florida in the same way as any court judgment. See question I.9.3 above.
Arbitration and mediation are commonly used in most civil proceedings in Florida and are highly encouraged by the courts. A very limited number of matters are outside the scope of arbitration, including criminal proceedings and certain family law disputes (e.g., disputes involving child custody, visitation, or child support).
1.4 Can local courts provide any assistance to parties that wish to invoke the available methods of alternative dispute resolution? For example, will a court - pre or post the constitution of an arbitral tribunal - issue interim or provisional measures of protection (i.e. holding orders pending the final outcome) in support of arbitration proceedings, will the court force parties to arbitrate when they have so agreed, or will the court order parties to mediate or seek expert determination? Is there anything that is particular to your jurisdiction in this context?
State and federal courts in Florida have the authority to stay court proceedings in favour of arbitration, and they frequently do so where the parties have an enforceable contract requiring arbitration. If a party resists arbitration, the other party may bring a motion in court to compel that party to arbitration, which the courts will grant so long as the parties have an enforceable contract requiring arbitration. Florida has institutionalised a far-reaching and court-supported mediation regime. The Florida Legislature and Courts have developed rules regarding the role of ADR in civil proceedings. More than 20,000 people have been certified as mediators by the Florida Supreme Court. Florida courts routinely order parties to conduct a mediation or, at least, discuss settlement as part of scheduling orders in civil matters. In addition, a limited category of disputes (including many disputes involving condominium associations) are subject to mandatory pre-suit mediation.
As discussed above in question II.1.1, courts also may order parties to participate in a court-mediated settlement conference. 1.5 How binding are the available methods of alternative dispute resolution in nature? For example, are there any rights of appeal from arbitration awards and expert determination decisions, are there any sanctions for refusing to mediate, and do settlement agreements reached at mediation need to be sanctioned by the court? Is there anything that is particular to your jurisdiction in this context?
After the issuance of an arbitration award, a party may file a motion in court to confirm the award. Unless a party challenges the award based on one of the limited grounds for vacatur, the court is required to enter judgment on the award. That judgment is then enforceable like a court judgment. As such, arbitration awards are “binding”. Arbitration awards may not be “appealed” in the same way as a court judgment and are not subject to substantive review. Under both the Federal Arbitration Act, Revised Florida Arbitration Code, and Florida International Commercial Arbitration Act, a party may file a motion in court requesting it to vacate an arbitration award. The bases on which to vacate an arbitration award are, however, very few and statutorily prescribed. See Fla. Stat. § 682.13; 9 U.S.C. § 10. The statutory grounds for overturning an award are exclusive. See Hall Street Associates, L.L.C. v. Mattel, Inc., 552 U.S. 576, 588 (2008); Visiting Nurse Association of Florida, Inc. v. Jupiter Medical Center, Inc., 154 So. 3d 1115 (Fla. 2014).
While an agreement to arbitrate a dispute is binding, the question of whether the parties have agreed to arbitrate is determined by the court rather than the arbitrator. Determinations of whether a party can be bound by an arbitration agreement under principles of agency, alter ego or third party beneficiary status are likewise resolved by a court. The law governing the contract determines the validity of the original agreement.
Mediation may result in resolution of a dispute that is memorialised in a settlement agreement executed by the parties. If the parties execute a settlement agreement resolving their dispute, that agreement is enforceable like any other contract. If a settlement agreement is reached within the context of ongoing litigation, the court may enter judgment on the settlement. The court may also retain jurisdiction to enforce the settlement terms to avoid the parties having to bring new litigation if a party fails to comply with the terms of the settlement agreement if the parties provide for such in their settlement agreement. See Paulucci v. General Dynamics Corp., 842 So. 2d 797 (Fla. 2003).
The American Arbitration Association (AAA) and JAMS are among the most prominent and frequently used ADR institutions in Florida. The AAA maintains a regional office in Miami and has well-developed arbitration rules applying to a variety of matters, including the Commercial Rules of Arbitration. Miami also has become a significant hub for international commercial arbitration proceedings, particularly involving Latin America. The two most prominent international arbitration institutions in Florida are the AAA’s International Centre for Commercial Dispute Resolution (ICDR) and the International Chamber of Commerce (ICC). Though newer to Florida than other parts of the United States, JAMS is a premier institution for mediation services and features a significant roster of former judges, experienced trial attorneys, and others. Independent arbitrators and mediators unaffiliated with an institution are also very common throughout Florida. Contributing firm
J. Trumon Phillips
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