Andrew J. Andrist and Douglas S. Stanhope v. Stephen P. Spleen , 2014 Fla. App. LEXIS 10869 ( 2014 )


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  •           DISTRICT COURT OF APPEAL OF THE STATE OF FLORIDA
    FOURTH DISTRICT
    July Term 2014
    ANDREW J. ANDRIST and DOUGLAS S. STANHOPE,
    Appellants,
    v.
    STEPHEN P. SPLEEN,
    Appellee.
    No. 4D13-2818
    [July 16, 2014]
    Appeal from the Circuit Court for the Nineteenth Judicial Circuit, St.
    Lucie County; Robert E. Belanger, Judge; L.T. Case No. 562012CA004595.
    Jonathan Jay Kirschner of Jonathan Jay Kirschner & Associates, LLC,
    Fort Pierce, for appellants.
    D. John Rhodeback of Rooney & Rooney, P.A., Vero Beach, for appellee.
    MAY, J.
    This case illustrates the exception to a rule. The defendants appeal an
    order awarding them attorney’s fees, but limiting the amount to the $100
    bond posted by the plaintiff for an ex parte temporary injunction. They
    argue the trial court erred in limiting the award because they did not have
    notice of the hearing at which the trial court determined the amount, and
    they diligently sought relief from the injunction. We agree and reverse.
    The case arose from the plaintiff’s concern that he would be defamed
    by the defendants as part of their comedy act. The plaintiff filed an
    emergency ex parte motion for temporary injunction without notice, as well
    as a verified six-count complaint against the defendants. The complaint
    alleged that the defendants were stand-up comedians who had developed
    a scheme to falsely accuse the plaintiff of molesting one of them when he
    was a minor.
    On their Twitter and Facebook accounts, the defendants posted that
    they planned to confront the plaintiff at a hotel with a camera crew, and
    show the taped interview during a stand-up comedy show in West Palm
    Beach. The plaintiff alleged the plan was designed to extort him and gain
    notoriety for the defendants’ comedy career. The plaintiff denied the
    molestation accusations.
    In the emergency motion, plaintiff’s counsel certified he sent an e-mail
    to one defendant inquiring about his intentions prior to the hearing, but
    had not received a response. No other efforts were made to contact the
    defendants. Counsel argued that no further notice should be required
    because the defendants threatened to spread untrue allegations about the
    plaintiff, and notice would not prevent them from disseminating that
    information.
    Plaintiff’s counsel informed the court that he found information,
    including a podcast, on the internet. There were jokes throughout the
    podcast. He argued the defendants were engaging in a shameless
    promotion of their comedy tour. Because the plaintiff could not defend
    himself on the internet, he had no adequate remedy at law.
    Counsel suggested that a nominal bond would suffice because the
    defendants would not suffer any harm or monetary loss by the injunction.
    He insisted the defendants would not be able to prove any lost income. He
    also argued that because the plaintiff was not a public figure, either no
    bond or a nominal one should be required.
    The court granted the ex parte temporary injunction without notice,
    and enjoined the defendants from disclosing, disseminating, or publishing
    any information regarding the plaintiff and the pending lawsuit. It also
    enjoined them from threatening to disclose, disseminate, or publish the
    information until the resolution of the case. The court required a $100
    bond.
    Nine days after its entry, the defendants filed a verified emergency
    motion to dissolve the temporary injunction. The motion detailed the
    plaintiff’s alleged molestation of one of the defendants, the negative long-
    term effects of the molestation, and the plaintiff’s alleged admission and
    apology to the defendant during the taped confrontation.
    The court heard the defendants’ motion and dissolved the temporary
    injunction. The defendants then filed an amended motion for an award of
    damages, including attorney’s fees and costs. They argued that they were
    entitled to damages exceeding the amount of the injunction bond because:
    (1) the plaintiff did not seek the temporary injunction in good faith; and (2)
    2
    the bond was set ex parte and the defendants proceeded expeditiously to
    exhaust available remedies.
    A successor judge heard the amended motion for damages.1 The court
    strictly construed section 60.07, Florida Statutes (2012), and awarded
    only the amount of the bond. The court declined the defendants’ request
    to make a factual finding that they expeditiously brought the issue to
    resolution, explaining that such a finding would not change the outcome.
    The court denied the defendant’s motion for clarification and for rehearing.
    From the award and denial of their motions for rehearing and clarification,
    the defendants now appeal.
    The defendants argue that the court erred in strictly construing Rule
    1.610 of the Florida Rules of Civil Procedure and section 60.07, Florida
    Statutes, to limit their damages to the posted $100 bond. They argue that
    this case falls within two exceptions to the general rule because the
    injunction was obtained ex parte and in bad faith, and they promptly
    sought to dissolve the wrongfully issued injunction. We agree and reverse.
    We have de novo review of legal issues, but the amount of the attorney’s
    fees award is reviewed for an abuse of discretion. Gibbs Constr. Co. v. S.
    L. Page Corp., 
    755 So. 2d 787
    , 790 (Fla. 2d DCA 2000).
    A temporary injunction may not be entered unless a movant posts a
    bond in an appropriate amount for “costs and damages sustained by the
    adverse party if the adverse party is wrongfully enjoined.” Fla. R. Civ. P.
    1.610(b). The amount of the bond constitutes the court’s determination of
    the foreseeable damages. Parker Tampa Two, Inc. v. Somerset Dev. Corp.,
    
    544 So. 2d 1018
    , 1021 (Fla. 1989).
    Upon the dissolution of a temporary injunction, the court “may hear
    evidence and assess damages to which a defendant may be entitled under
    any injunction bond.” § 60.07, Fla. Stat. (2012). “It is well-established
    that reasonable attorney’s fees may be recovered . . . if the injunction was
    wrongfully issued, and if the attorney’s fees relate to the defeat or
    dissolution of the court’s injunction.” Merrett v. Nagel, 
    564 So. 2d 229
    ,
    231 (Fla. 5th DCA 1990) (citing Roger Dean Chevrolet, Inc. v. Painters,
    Decorators & Paperhangers of Am., Local No. 452, 
    155 So. 2d 422
     (Fla. 2d
    DCA 1963)).
    1 The Honorable Dan Vaughn entered the ex parte temporary injunction and set
    the bond at $100. Due to new division assignments, the Honorable Robert E.
    Belanger took over Judge Vaughn’s division and heard the amended motion for
    damages.
    3
    As a general rule, a wrongfully-enjoined party’s damages are limited to
    the amount of the posted bond. Parker Tampa Two, Inc., 
    544 So. 2d at 1019
    . Courts have however allowed recovery exceeding the bond when the
    injunction is sought in bad faith or when the injunction bond is set without
    an evidentiary hearing on foreseeable damages. Lotenfoe v. Pahk, 
    747 So. 2d 422
    , 425 (Fla. 2d DCA 1999).
    In SeaEscape, Ltd., Inc. v. Maximum Marketing Exposure, Inc., 
    568 So. 2d 952
    , 956 (Fla. 3d DCA 1990), the Third District found the defendant
    entitled to damages beyond the bond amount because it acted promptly to
    dissolve the wrongfully entered injunction and increase the bond. The
    court reversed and remanded the case. “[W]here there has been no
    opportunity for a hearing and where the enjoined party has proceeded
    expeditiously to exhaust available remedies, the damages for wrongful
    injunction are not limited to the bond amount.” 
    Id. at 956
    .
    Here, the temporary injunction and bond were obtained ex parte. Like
    the defendant in SeaEscape, who promptly moved to dissolve the
    injunction, the defendants expeditiously moved to dissolve the temporary
    injunction within nine days of its issuance. The same result is warranted.
    The defendants were not given notice of the request for a temporary
    injunction, and were deprived of the opportunity to prove a higher bond
    was warranted. They acted diligently in moving to dissolve the injunction
    and in requesting damages, including attorney’s fees. The court erred in
    limiting their damages to the bond amount.
    We therefore reverse and remand the case. Because the injunction has
    been dissolved, the court need only conduct an evidentiary hearing to allow
    the defendants the opportunity to prove damages greater than the $100
    awarded. See Lotenfoe, 
    747 So. 2d at
    425–26 (where the injunction is
    already dissolved, “there is no functional need to set a new injunction
    bond.”); see also Leibowitz v. City of Miami Beach, 
    683 So. 2d 204
     (Fla. 3d
    DCA 1996) (remanding for recalculation of attorney’s fees sought after
    dissolution of the injunction).
    Reversed and Remanded.
    DAMOORGIAN, C.J., and WARNER, J., concur.
    *         *         *
    Not final until disposition of timely filed motion for rehearing.
    4