Opinion ID: 2491016
Heading Depth: 1
Heading Rank: 3

Heading: Nature of Safe Harbor Provision

Text: Section 57.105 previously authorized an award of attorney's fees when there was a complete absence of a justiciable issue of either law or fact raised by the losing party. See, e.g., Mullins v. Kennelly, 847 So.2d 1151, 1153-54 (Fla. 5th DCA 2003) (citing § 57.105, Fla. Stat. (1997)). The statute was amended in 1999 as part of the 1999 Tort Reform Act to reduce frivolous litigation and thereby to decrease the cost imposed on the civil justice system by broadening the remedies that were previously available, Yakavonis v. Dolphin Petroleum, Inc., 934 So.2d 615, 619 (Fla. 4th DCA 2006) (quoting Wendy's of Ne. Fla., Inc. v. Vandergriff, 865 So.2d 520, 523 (Fla. 1st DCA 2003)), and to allow an award of attorney's fees when a claim or defense, rather than the entire action, is frivolous. See Albritton v. Ferrera, 913 So.2d 5, 8 (Fla. 1st DCA 2005) (citing Mullins, 847 So.2d at 1154); see also ch. 99-225, § 4, at 1406-07, Laws of Fla. The statute was again amended to include a safe harbor provision, which took effect on July 1, 2002, while the present case was pending in trial court. See ch.2002-77, §§ 1-2, at 908-09, Laws of Florida. [3] One relevant inquiry when analyzing a change in statutory law is whether the amendment constitutes a substantive change or a procedural or remedial change in the law. See Smiley v. State, 966 So.2d 330, 334 (Fla.2007). This Court generally adheres to the following guidelines to determine whether a statute is procedural or substantive in nature: Substantive law has been defined as that part of the law which creates, defines, and regulates rights, or that part of the law which courts are established to administer. It includes those rules and principles which fix and declare the primary rights of individuals with respect towards their persons and property. On the other hand, practice and procedure encompass the course, form, manner, means, method, mode, order, process or steps by which a party enforces substantive rights or obtains redress for their invasion. `Practice and procedure' may be described as the machinery of the judicial process as opposed to the product thereof. It is the method of conducting litigation involving rights and corresponding defenses. Massey v. David, 979 So.2d 931, 936-37 (Fla.2008) (emphasis omitted) (quoting Haven Fed. Sav. & Loan Ass'n v. Kirian, 579 So.2d 730, 732 (Fla.1991)). We have previously held that a statutory right to attorney's fees constitutes a substantive right. See Menendez v. Progressive Express Ins. Co., 35 So.3d 873, 878 (Fla.2010) (citing Moser v. Barron Chase Sec., Inc., 783 So.2d 231, 236 (Fla.2001)). Further, district courts have concluded that statutory provisions which impose limitations on the right to recover attorney's fees are substantive in nature. See, id. at 879 (citing Stolzer v. Magic Tilt Trailer, Inc., 878 So.2d 437, 438 (Fla. 1st DCA 2004) (holding that a statutory amendment allowing an employer or carrier thirty rather than fourteen days to provide workers' compensation benefits before being responsible for attorney's fees was a substantive change in the statute)). With regard to the specific nature of the safe harbor provision contained in section 57.105(4), the First District in Walker, the conflict case, explained: Subsection (4) does more than require the giving of notice. It creates an opportunity to avoid the sanction of attorney's fees by creating a safe period for withdrawal or amendment of meritless allegations and claims. The withdrawal or amendment of a claim, allegation or defense could substantively alter a case. Walker, 946 So.2d at 71. We agree. Accordingly, we hold that the safe harbor provision contained in section 57.105(4) is substantive in nature. Having determined that the safe harbor provision is substantive, we turn now to consider the prospective or retroactive application of section 57.104(4).