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Baskerville-Donovan Eng's, Inc. v. Pensacola Exec. House Condominium Ass'n, Inc.

Citations: 581 So. 2d 1301; 16 Fla. L. Weekly Supp. 440; 1991 Fla. LEXIS 931; 1991 WL 101180Docket: 76755

Court: Supreme Court of Florida; June 13, 1991; Florida; State Supreme Court

Narrative Opinion Summary

The Supreme Court of Florida evaluated a legal conflict between Pensacola Executive House Condominium Association, Inc. and Baskerville-Donovan Engineers, Inc. concerning the application of the two-year statute of limitations for professional malpractice under Florida Statutes section 95.11(4)(a). The primary issue was whether this statute applies solely in cases of direct contractual privity between the plaintiff and the professional. Baskerville-Donovan was initially contracted by Executive House, Inc. to produce a conversion report for an apartment complex, which later resulted in a lawsuit due to alleged inaccuracies. Following the trial court's dismissal of the case based on the two-year limitation, the First District Court of Appeal reversed the decision, citing the absence of direct privity. The Supreme Court affirmed that direct privity is necessary for the application of the two-year statute, limiting its scope to parties in contractual relationships. This decision overturned the broader interpretation seen in Cristich v. Allen Engineering Inc., which included known beneficiaries within the statute's purview. Consequently, the four-year statute of limitations for tort actions would govern the case absent privity. The case was remanded for further proceedings, reinforcing the legislative intent to apply strict privity in malpractice suits and emphasizing statutory interpretation based on plain meaning and legislative purpose.

Legal Issues Addressed

Application of Statute of Limitations for Professional Malpractice

Application: The two-year statute of limitations under section 95.11(4)(a) of the Florida Statutes applies exclusively when there is direct privity of contract between the plaintiff and the professional.

Reasoning: The Supreme Court of Florida reviewed the case...to address a conflict...regarding the application of the two-year statute of limitations for professional malpractice under section 95.11(4)(a) of the Florida Statutes.

Distinction Between Privity and Duty of Care

Application: While concepts like third-party beneficiary can expand liability, privity and duty of care serve different legal purposes and privity is required for certain claims.

Reasoning: The court distinguished between privity and duty of care, asserting that both concepts serve different legal purposes.

Legislative Intent and Statutory Interpretation

Application: Statutory language must be interpreted based on legislative intent, emphasizing the plain meaning of terms when not explicitly defined.

Reasoning: The court emphasized the importance of interpreting statutory language based on legislative intent, utilizing the plain meaning of terms used by the legislature.

Requirement of Direct Privity for Malpractice Claims

Application: Direct contractual privity is required to apply the two-year statute of limitations in professional malpractice suits, excluding third-party beneficiaries.

Reasoning: The court determined that the applicable statute of limitations for the action is two years, not four years. It upheld the lower court's interpretation that 'privity' under section 95.11(4)(a) refers specifically to direct contractual privity.