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SouthTrust Bank of Southwest Florida, N.A. v. Krause
Citations: 677 So. 2d 368; 1996 Fla. App. LEXIS 7049; 1996 WL 382221Docket: No. 96-00007
Court: District Court of Appeal of Florida; July 10, 1996; Florida; State Appellate Court
SouthTrust Bank of Southwest Florida, formerly Island Bank, appealed a nonfinal order regarding its interests in certain assets, specifically a business checking account and a certificate of deposit, following a shareholder derivative action against Seminole Horticulturists, Inc. The bank asserted a right to set-off and claimed a security interest in an account receivable. The trial court directed the bank to surrender the accounts to the appointed receiver, despite the bank not being a party to the lawsuit and not being present at the related hearing. The bank sought to have this order declared void, citing lack of jurisdiction, which the trial court ultimately denied, ordering the bank to provide evidence of its security interest. The appellate court referenced a Texas case, First National Bank of Plano, establishing that a receiver cannot claim property from a non-party without proper jurisdiction and noted that the trial court lacked jurisdiction over the bank since it was not served with process or named in the lawsuit. Consequently, the appellate court reversed the trial court's order and remanded the case for further proceedings.