Chico S.S. Moss v. American Private Equity, LLC ( 2021 )


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  • USCA11 Case: 19-14777       Date Filed: 10/18/2021   Page: 1 of 4
    [DO NOT PUBLISH]
    In the
    United States Court of Appeals
    For the Eleventh Circuit
    ____________________
    No. 19-14777
    ____________________
    CHICO S.S. MOSS,
    a.k.a. Shawn Moss,
    KI.M.ET LTDA,
    a.k.a. The Prosyon Group,
    Plaintiffs-Appellees,
    versus
    AMERICAN PRIVATE EQUITY, LLC,
    FREDDY A. RUSSIAN,
    Defendants-Appellants.
    USCA11 Case: 19-14777            Date Filed: 10/18/2021       Page: 2 of 4
    2                         Opinion of the Court                    19-14777
    ____________________
    Appeal from the United States District Court
    for the Middle District of Florida
    D.C. Docket No. 8:18-cv-00587-SDM-JSS
    ____________________
    Before JORDAN, NEWSOM, Circuit Judges, and BURKE,* District
    Judge.
    PER CURIAM:
    Freddy Russian and American Private Equity appeal from
    the portions of a jury verdict finding them liable and awarding
    damages on fraud claims asserted by Chico Moss. Following oral
    argument and a review of the record, we affirm. 1
    The appellants contend that the fraud claims are barred by
    releases executed by Mr. Moss when the parties renegotiated their
    contractual relationship. We disagree for a number of reasons.
    First, release is an affirmative defense which must be pled.
    See Fed. R. Civ. P. 8(c)(1); Perry v. Merit Systems Protection Bd.,
    
    137 S. Ct. 1975
    , 1986 n.9 (2017). The magistrate judge denied with-
    out prejudice the appellants’ motion for leave to add the defense of
    *The Honorable Liles C. Burke, United States District Judge for the Northern
    District of Alabama, sitting by designation.
    1We assume the parties’ familiarity with the facts and procedural history and
    set out only what is necessary to explain our decision. As to issues not dis-
    cussed, we summarily affirm.
    USCA11 Case: 19-14777        Date Filed: 10/18/2021     Page: 3 of 4
    19-14777               Opinion of the Court                        3
    release, and the appellants never appealed that non-dispositive rul-
    ing to the district court. That constitutes waiver. See Fed. R. Civ.
    P. 72(a); Smith v. School Bd. of Orange County, 
    487 F.3d 1361
    , 1365
    (11th Cir. 2007). Moreover, although the denial was without prej-
    udice, the appellants never filed a renewed motion identifying
    good cause for leave to amend.
    Second, we do not agree with the appellants that the effect
    of the releases was tried by implied consent. See Fed. R. Civ. P.
    15(b)(2). On this record, we conclude that Mr. Moss would have
    been prejudiced because he had no notice of the releases being a
    separate and potentially case-dispositive issue and because he could
    have offered additional evidence or arguments on the releases. See
    Doe #6 v. Miami-Dade County, 
    974 F.3d 1333
    , 1339 (11th Cir.
    2020). We also do not believe that the question asked of Mr. Moss
    about one of the releases resulted in implied consent because the
    releases—which were admitted into evidence—were relevant to
    Mr. Moss’ fraud in the inducement claim. See Wesco Mfg., Inc. v.
    Tropical Attractions of Palm Beach, Inc., 
    833 F.2d 1484
    , 1487 (11th
    Cir. 1987).
    Third, the jury was not instructed on the releases, and was
    not asked to make any findings about the validity, applicability, or
    scope of the releases. In order to do as the appellants ask, we would
    have to determine the effect of the releases as a matter of law with-
    out any attendant instructions or findings. We decline to undertake
    such a review.
    USCA11 Case: 19-14777            Date Filed: 10/18/2021         Page: 4 of 4
    4                         Opinion of the Court                      19-14777
    The appellants also challenge the sufficiency of the evidence
    to support the jury’s fraud verdicts and the award of punitive dam-
    ages. Given the deferential standard we apply when reviewing jury
    verdicts, see Mamani v. Sánchez Bustamante, 
    968 F.3d 1216
    , 1230
    (11th Cir. 2020), we find no basis for setting aside the verdicts here. 2
    AFFIRMED.
    2 We add one more thing. The appellants contend, in part, that Mr. Moss did
    not show that his reliance was reasonable. See Russian Corrected Initial Br. at
    36. But under Florida law, which governs, justifiable reliance is not required
    for a fraud claim. See Butler v. Yusem, 
    44 So.3d 102
    , 105 (Fla. 2010).
    

Document Info

Docket Number: 19-14777

Filed Date: 10/18/2021

Precedential Status: Non-Precedential

Modified Date: 10/18/2021