Florida citizens upset over their homeowners’ association charging them for painting that had to be done on residences have garnered news headlines of late. This is a common type of dispute that arises between residents and their homeowners’ association; a maintenance service that has been written into residents’ contracts increasing their association dues; and residents being frustrated about it. Is the homeowners’ association in the wrong here?

A homeowners’ association board has tremendous power and every right to follow through with a maintenance requirement like painting residences and charging owners for that requirement. It does not need to take a vote from resident owners first; however, a majority of the homeowners can demand a recall election and elect new board members if they are frustrated by decisions like these.

The Ability to Levy Special Assessments

These types of fees are typically collected each month by homeowners’ associations to assist with improving and maintaining all properties in the association. While already-established fees often cover regular maintenance costs, associations can levy special assessments—like this painting fee—if reserve funds are not enough to cover a large project that’s badly needed.

The Rights of Associations If Owners Fail To Pay Fees

If residents fail to pay these fees, the association can take action against the owner, depending on how the specific contract is worded. From late fees, to placing a lien on the property, foreclosing to collect payments, or initiating litigation, the association has its options. It is the association’s obligation to ensure that members pay these fees so that common areas and other services do not suffer.

In a nutshell, homeowners’ associations are quasi-governmental organizations, bound by the contracts that they enter into with homeowners and their bylaws. If the governing documents allow for the association to increase dues and/or levy fees, it is legal to do so, pursuant to the contract that owners entered into with that association when they purchased that home. Owners are obligated to pay an increase that their board approves, as well as any that are specified in the bylaws that are automatically triggered by certain events, for example, residences needing to be painted every 10 years, etc.

Options for Homeowners

Homeowners who are frustrated do have some options for making their voices heard: As previously mentioned, they can run for a position on the board, as well as lodge a complaint with the board of directors, board president, and/or the state licensing agency.

Contact Our Florida Homeowners’ Association Attorneys

Our skilled, experienced homeowners’ association attorneys have served a number of association clients throughout Florida when it comes to disputes and potential legal action. Contact us today at HD Law Partners to find out more about our services.

Resource:

wsvn.com/news/help-me-howard/residents-clash-with-homeowners-association-over-133k-paint-job/

Common Questions Involving “Material Alterations” In Homeowners’ Associations

Posted in Homeowners Association | No Comments »

As attorneys who regularly represent clients who are going through a divorce here in Florida, we consider it to be of vital importance to ensure that our clients understand the most important mistakes to avoid during the divorce process. Below, we discuss some of these mistakes in greater detail:

Be Cautious & Careful When It Comes To Social Media

First and foremost, be careful—and cautious—on social media. Boasting about your new life—salary, trips, etc.—can only negatively affect your proposed settlement.

Gather As Much Information as Possible ASAP

You also want to make sure that you gather all of the important paperwork in place before it’s too late and if you have to ask for it from our ex, down the road. Some of the paperwork includes information covering:

• Account numbers and balances for financial accounts;
• How much you paid for certain assets, such as the family home;
• Receipts documenting any major expenses, such as funds spent on home improvements; and
• Social security benefits for you and your ex, including current and expected future earnings.

These documents are not only essential to the current divorce settlement process, but they help you and your attorney figure out what makes sense in terms of negotiations. For example, alimony negotiations might be affected by spousal survivor benefits from Social Security in 25 years. The more information you have now, the better you will be able to predict current and future tax consequences, and all of that affects what you demand and give up in the now. For example, a Roth IRA is worth more than a traditional IRA because it is untaxed in retirement. In a nutshell, one of the biggest mistakes you can make is being in the dark when it comes to your finances.

Close All Joint Accounts

Closing joint accounts is another very important task you want to take care of. Regardless of what your ex promises, you are responsible for any and all joint debts, and you are liable so long as your name—and their name—is on any account. Not only should joint accounts be closed, but authorized users adjusted for each credit card, and any agreed-upon debts assigned to the individual who plans to pay them.

Choose the Right Florida Divorce Attorney

When it comes to making wise decisions during your divorce, you want to work with the very best divorce attorney you can find—someone who has a lot of experience practicing divorce law locally, and predict every surprise and consequence that might come along so that you are protected every step of the way. Contact our Florida divorce attorneys at HD Law Partners today and find out more about our skilled legal services.

Resource:

southbendtribune.com/news/business/nerdwallet-divorce-mistakes-that-can-cost-you/article_5a9f6d91-0bd6-5fb7-a811-517538347a45.html

Posted in Divorce | No Comments »

An important insurance bad faith decision out of a New York appellate court clarifies important Court of Appeals precedent regarding the bad faith pleading standard, while also clarifying a number of issues that the courts have never addressed, including consequential losses and attorney’s fees.

Even though decided in New York courts, this is an important decision to all insurance companies when it comes to setting precedent for bad faith claims, as we discuss in greater detail below.

The Case

The case started with property owners filing an insurance claim for direct damage and physical loss to their property as a result of construction work done in the adjoining building. According to reports, the property owners filed a claim with their insurance company, National Union Fire Insurance Company, which did not respond or pay the claim. According to them, National Union, instead “made unreasonable and increasingly burdensome information demands” with the hopes that the owners would drop the claim entirely. As a result, the owners filed claims alleging breach of contract and of the implied covenant of good faith and fair dealing.

The Decision & Its Implications

While the Supreme Court dismissed the claim, finding that the property owners failed to specify how consequential damages were foreseeable to National Union when they entered into the contract, the First Department appellate court reversed this decision, and in doing so, effectively changed the minimal pleading standard required for bad faith claims when it comes to what a plaintiff must specify in alleging how consequential damages were reasonably foreseeable. According to the decision, the division effectively found that all the plaintiff has to do is state the types of consequential damages and that they were reasonably foreseeable instead of explaining why the damages were reasonably foreseeable.

A number of insurance companies around the country, including those in Florida, have effectively argued in the courts that these types of claims are duplicative of breach of contract claims, and should be dismissed. What this decision does is essentially separate the two claims—breach of contract and bad faith managing of an insurance claim—making it clear that both can be brought on their own, irrespective of each other. This is important because it is the first decision that helps clarify what previous court decisions meant regarding what the bad faith pleading standard entails, while also arguably recognizing specific types of damages and losses that were not previously recognized.

Contact Our Florida Insurance Bad Faith Defense Attorneys Today To Find Out More

At HD Law Partners, our insurance carrier attorneys have represented a number of companies that have had bad faith claims brought against them. Contact our Florida bad faith defense attorneys today to find out more.

Resource:

insurancebusinessmag.com/us/news/breaking-news/new-york-appellate-court-sets-new-precedent-for-bad-faith-claims-123694.aspx

Florida Appellate Decisions Push Bad Faith Standard & Raise Concerns

Posted in Insurance Bad Faith | No Comments »

There is no question that Hurricane Michael has wreaked incredible devastation to many Floridians, both destroying their homes and their places of work. While a number of media outlets have focused on the estimated damage to agricultural resources and related business operations, as of late, new housing has emerged as one of the most challenging struggles for those affected by the hurricane.

The damage wreaked by Michael not only affected a number of property owners, but those who depend upon spring tourism as well. With a number of businesses now awaiting the arrival of beach tourists to make up for their losses, those displaced by the hurricane who still have not been made whole by their insurance companies are concerned that they could find themselves homeless, as they have, up until now, had to depend upon temporary housing which could now be turned over to tourists. According to reports, their monthly and weekly rates are now expected to double, while others are being turned out without the option of lease renewals.

Insurance Companies Blocking Return To Homes

Even a number of homeowners who may want to return to their homes and have, in some circumstances, been told by insurance adjusters that they cannot due to a lack of power and significant water damage. In fact, some counties even ordered mandatory evacuation prior to Hurricane Michael’s arrival. Meanwhile, the Federal Emergency Management Agency only covered the first two weeks of temporary housing for these displaced individuals, and many have spent the last few months wrestling with insurance adjusters and searching for available contractors in an effort to get their lives back on track.

At the heart of many of these headaches are the delays in settling insurance claims. Due to these delays,  a number of homeowners have had to get extension after extension, all while it is near-impossible to find available contractors, nearing severely desperate circumstances. Temporary housing was the only option keeping them from homelessness in the hopes that homes would be ready for their return by the time the spring was over. However, due to insurance claim delays, those returns aren’t possible, as these homes still remain uninhabitable, especially since now the limited number of contractors available will also face a housing shortage.  In addition, some property owners are now facing special assessments of thousands of dollars from homeowners associations in order to “repair storm damage.”

If You Live In Florida and Are Suffering From a Hurricane Claim Delay, Contact Our Attorneys

If you have suffered due to Hurricane Michael, and fear that you could be left homeless due to a delayed insurance claim, contact our Florida hurricane insurance claim attorneys at HD Law Partners today to find out how we can help you and your family secure your future.

Resource:

govtech.com/em/disaster/New-Housing-Struggle-Emerges-for-Those-Displaced-by-Hurricane-Michael.html#closeMobAd

A Look at the Damage to Florida Lives & Crops from Hurricane Michael

Posted in Homeowners Insurance | No Comments »

When it comes to being a landlord preparing your property to be rented by tenants, there are a number of helpful tasks that a landlord-tenant attorney can help you with. This includes precautions that will likely provide you with more protection than simply working with a property management company that does not have any experienced attorneys on staff.

Let’s take, for example, the task of finding your tenants: Let’s say you and/or the property management company having potential tenants that appear to be good on paper, but also appear to have bad credit. An attorney can help you build in some protection for yourself in case these tenants do not work out. Start by running through their references, and remember that a credit score does not tell the whole story, especially if someone experienced a couple of difficult years. You can ask their references about what is important as a landlord—did they pay rent on time, respect the premises, etc. —and then ask the tenant for additional specifics as to why their credit score might be low.

Asking About References

Here are some overall questions you may want to ask references about your prospective tenants:

• How frequently was the tenant late with rent, if at all?
• Did they take good care of the property? What about basic maintenance?
• How frequently did they get in touch, and over what issue(s)?
• Were there any complaints about the tenant from neighbors?
• Under what conditions did the tenant leave? Did they provide enough notice?

Speaking With the Prospective Tenant

You should also speak with the tenant about their poor financial score and what might have caused it. For example, if they, at one point had to declare bankruptcy, that could be an indication of where they were at financially at that point in their lives, but doesn’t necessarily indicate that collecting rent on time is going to be a problem now.

Additional Contractual Precautions

Also keep in mind that there are additional precautions you can take if you are concerned about your new tenant having a bad credit score; for example:

• Collecting a larger deposit from them, and including, in their contract, that the deposit can be used at your discretion to address any unpaid rent and damage;
• Opting for a month-to-month versus annual lease;
• Considering having the tenant take over on accounts that you might have otherwise kept in your name, such as the water, garbage, etc.; and/or
• Charging more in rent each month.

Contact Our Florida Landlord-Tenant Attorneys to Find Out More

As Florida landlord-tenant attorneys who have worked with a number of landlord clients over the years, we are here to help when it comes to any contract, legal, and other questions you might have about the process. Contact us today at HD Law Partners to find out more about our services.

Resource:

forbes.com/sites/forbesrealestatecouncil/2019/02/19/great-tenant-bad-credit-what-are-a-landlords-options/#3758129e3fee

Posted in Homeowners Association, Landlord Tenant | No Comments »

Hurricane Michael has been labeled the “third-most intense Atlantic hurricane to make landfall in the United States.” As of November 26, more than 43 deaths in Florida have been linked to the disaster, with 23 of them all hitting Bay County alone. On Thanksgiving Day, thousands of Floridians remained homeless because they lost everything to the hurricane.

In addition to taking human lives, Hurricane Michael has done significant damage to Florida’s panhandle crops, which will inevitably involve a number of complicated insurance claims to be filed, as we discuss below.

Crop Producers Hardest Hit

When the hurricane hit, bell pepper, squash, and tomato producers were only approximately five days into their season, and were the hardest hit, which included approximately 200 acres of bell peppers and anywhere between 1,000 and 1,500 acres of tomatoes. According to reports, these producers lost approximately 90 percent of their crops. In addition, starting over with their crops has been tremendously difficult because the crop stakes were reportedly blown over and exposed to sun damage, and many of the packinghouses were also significantly damaged from the hurricane, leaving producers with nowhere to go to pack their products.

Unfortunately, these effects are far from over: An estimated half of all growers in the region are small and independent, and only started out with 75 to 350 acres total to begin with. Only producing in that one area, it is impossible for them to make up production by growing in other regions, and harvest time is only 10 weeks out of the year. In other words 50 percent of their market year is now gone.

Hurricane Michael Claims

According to the Florida Office of Insurance Regulation, the following numbers of claims have been filed for residential and commercial properties, including business interruption costs:

• Residential Property: 85, 017
• Commercial Property: 6,830
• Private Flood: 158
• Business Interruption: 658
• Other Business Loss Claims: 32, 693

The highest number of claims have been filed in Bay County (75,412), followed by Jackson (12,605), Leon (8,661), and Gulf Counties (7,231). The total estimated insured losses thus far come to $3,430,014,424. Of these claims filed, only a small number have been paid, while thousands of others are either currently classified as not paid or still open.

 If You Have Suffered Losses Due To Hurricane Michael, Contact Our Insurance Claim Attorneys

While home damage is bad enough during a hurricane, damage to businesses and farming productions can be significant, especially when it comes to hurricanes that hit Florida.

If you have suffered some type of damage, contact our Fort Myers hurricane insurance attorneys at HD Law Partners today to find out how we can help. We not only work with producers to file their insurance claims, but in appealing denied claims and in addressing unnecessary delays from insurance companies.

Resource:

mynews13.com/fl/orlando/news/2018/11/26/hurricane-michael–florida-death-toll-up-to-43-people

thepacker.com/article/florida-panhandle-crops-hard-hit-michael

pbs.org/newshour/show/many-hurricane-michael-survivors-spent-thanksgiving-homeless

Posted in Fort Myers Hurricane Insurance Attorney | No Comments »

Any divorce finalized after December 31 will not be able to take advantage of the tax deduction, which was eliminated in the Tax Cuts and Jobs Act. The deduction disappearing has a number of couples rushing to get things finalized before 2019 arrives, as payers (in the higher income tax bracket) will no longer be able to deduct the payments on their annual returns, while recipients will no longer be paying taxes on alimony as income.

In fact, payers will now owe the Internal Revenue Service taxes on the amount paid, while recipients will owe nothing. According to reports, last year alone, close to 600,000 taxpayers claimed deductions for close to $13 billion in alimony paid the previous year. The elimination of the deduction was reportedly intended to offset budget deficits created by lowering the corporate tax rate from 35 to 21 percent.

And unfortunately, however, couples’ needing to come to an agreement isn’t the only hurdle: There must also be enough judges—and time—to sign off on divorce agreements before the end of 2018 in order for couples to take advantage of the alimony deduction. 

Hope on the Horizon?

There may still be some hope: the states typically determine alimony guidelines, and may be able to soften the blow” somewhat for payers to take over for some of the increased tax burden. In addition, ex-spouses will still be able to claim their ex’s Social Security benefits upon retirement if they were married for at least 10 years and he or she did not get remarried.

If You Are Rushing To Take Advantage of the Deduction

If you are hoping to have your settlement finalized by the end of the year, keep the following in mind:

• Ensure that your settlement is a final settlement order or court order—not a temporary agreement;
• Note that having a prenuptial agreement in place does not automatically guarantee that you are privy to the alimony deduction moving forward. If the agreement is tied to tax provisions that will be out of date, this could threaten that deduction; and
• Note that the new tax rules will not apply to modifications of agreements that were entered into prior to 2019 unless that is specifically written into the decree.

Consult an Experienced Florida Divorce Attorney

Experts agree that there is good reason to rush the divorce and to make it in by 2018 because there are significant savings to be had.  The Florida divorce attorneys at HD Law Partners are dedicated to helping our clients get through their divorce as efficiently as possible and on the right financial track. Contact us today to find out more.

Resources:

hchicagotribune.com/business/ct-biz-divorce-alimony-new-tax-law-20181129-story.html

marketwatch.com/story/under-trumps-tax-plan-divorces-are-about-to-get-a-lot-nastier-2017-11-03

Posted in Alimony, Divorce | No Comments »

On December 5, Florida-based Citizens Property Insurance Corporation announced that it would be paying a number of appraisers to review various hurricane insurance lawsuits and disputes related to Hurricane Irma and expediting settlement and resolutions of these disputes. Reportedly, if the appraisers cannot come to an agreement, Citizens will resort to paying “umpires” to make binding decisions.

According to the company’s chief claims officer, the goal is to settle about 6,500 lawsuits. Still, only a reported 60 plaintiffs have accepted offers from the company since it started contacting plaintiff’s’ attorneys in mid-October, possibly because a number of claimants may realize that they will not be offered what they need directly from the company.

Hurricane Irma, Citizens Property Insurance, and Current Claims

Hurricane Irma significantly affected Citizens Property Insurance, as a number of Florida property owners had policies with the company. According to reports, just between January and October 2018, there was a 71 percent increase in lawsuits against the company, with more than 1,100 lawsuits filed each month. Of the current 6,500 open Hurricane Irma lawsuits, 84 percent reportedly involve disputes concerning how much money it will take to bring properties back to pre-loss conditions. These involve cases where Citizens either made inadequate payments to policyholders or decided that no payment was due because damage costs did not exceed deductible amounts. 89 percent of the thousands of open lawsuits originated from Broward and Miami-Dade counties, which are home to approximately 51 percent of Citizens’ policyholders.

Is Accepting A Settlement Offer Best For A Property Owner?

All too frequently, umpires want to split the difference on a claim, regardless of how much damage a property owner has sustained. Thus, for example, if repairs are going to cost a property owner $100,000, and Citizens offers $5,000, the property owner would have to accept half of what they actually need.

Many also feel that Citizens should have made fair offers from the get-go instead of waiting to be sued and them seeking settlements.  According to reports from February 2018, Citizens chose to fight cases longer and take more cases to trial, spending more per case on defense costs, and likely passing those costs onto its customers. As of April 30, the company was a defendant in more than 10,400 open cases; a reflection of its choice “to fight” rather than settle.

 Contact Our Florida Hurricane Claim Attorneys Before You Accept Any Insurance Settlement

You should never accept a settlement from your insurance company without first discussing with an experienced insurance claim attorney whether you are being offered what you are due. If you have suffered damage due to Hurricane Irma, contact one of our experienced Florida hurricane insurance claim attorneys at HD Law Partners to ensure that you get the compensation you need to help you move on and recover.

Resources:

sun-sentinel.com/business/fl-bz-citizens-to-propose-irma-suit-settlements-20181205-story.html

sun-sentinel.com/business/fl-bz-lawsuits-against-citizens-decline-20180201-story.html

A Look at Hurricane Michael’s Damage in Florida & New Rules for Insurance Companies

Posted in Hurricane Insurance | No Comments »

Some of the many landlord-tenant legal issues that we deal with have to do with landlords who are ready to sell their property that is currently being rented by tenants. Below, we discuss some of the options that you as a landlord have to do so; based on what type of lease agreement you have with your tenants; and how to deal with any bumps that might come along during the process:

Month-To-Month Leases

A month-to-month lease is arguably the best situation for a landlord because you usually only have to provide between 30 and 60 days notice to your tenants. However, first and foremost, you must ensure that you abide by the terms of your lease, including any particular provisions that were put in. Not only is it the law, but being respectful and keeping your tenant(s) informed can only help you with the selling process.

That being said, make sure you also ‘dot the i’s and cross the t’s,’ and put everything in writing, including a reminder of what date their lease ends and the date by which the tenant(s) need to move out and return the keys to you.

Fixed Term Leases

When it comes to a fixed term lease, your tenant(s) have the right to remain on the property through the duration of their lease, unless you inserted an early termination clause. This is why it is advisable to work with an attorney from the get-go when it comes to being a landlord, including in drafting your tenant agreements, so that you can include any and all clauses you might need to address any exigent circumstances that may come up.

Difficulties, Incentives, Other Options, and Termination

What do you do if difficulties arise with respect to your tenant(s)? First and foremost, definitely wait until the end of the lease, per the lease agreement, before you place the property on the market. The last thing that you want is a tenant potentially interfering with the selling process and making things difficult.

Note that it can also sometimes be helpful to provide incentives to your tenant(s), such as a discount on their rent, in an effort to obtain their assistance if they are remaining in the unit as you place the property on the market. For example, it is extremely helpful for tenant(s) to leave the premises clean and be will to accommodate last-minute showing requests.

Some other options include:

• Offering your tenant(s) the first right to purchase the property;
• Paying them out for the remainder of their lease so that they will leave; and/or
• Selling to an investor who can purchase the property while your tenant’s lease is still active.

Do keep in mind that you can terminate the lease if the tenant(s) go so far as to:

• Become a nuisance to neighbors;
• Cause damage to the property;
• Engage in illegal activities, such as possession of drugs;
• Fail to pay rent (or continuously pay it late);
• Provided any misrepresentations on their rental application; and/or
• Violate any lease terms, such as a no-pet clause.

Contact Our Florida Landlord Tenant Attorneys

Contact our Florida landlord-tenant, property management, property owner attorneys at HD Law Partners today with any questions.

Resource:

forbes.com/sites/forbesrealestatecouncil/2018/12/12/what-landlords-need-to-know-about-selling-a-tenant-occupied-property/#605ab2974b76

Posted in Landlord Tenant | No Comments »

As family law attorneys who assist a number of clients going through divorce in Florida each year, we frequently hear clients tell us that they decided to get a divorce because they experienced ‘the last straw,’ or, conversely, that they felt blindsided by their partner, who said that something triggered ‘the law straw’ and made them want a divorce.

What is the law straw, and what triggers it? Below, we discuss some advice from the experts on its origins with respect to divorce:

More a Reflection of Ongoing Issues versus One Major Event

The last straw is often more a culmination of realizations and issues over time as opposed to the dramatic event or fight that is sometimes portrayed in the movies. It is often a symptom of a series of ongoing issues or breakdowns in the marriage until, one day; one person decides that it is more painful to stay in the marriage than to leave. In other words, the last straw can be the result of an emotional realization as opposed to a major event.

Difficult To Predict

As a result, many people do not realize that it’s arrived until it’s actually there because it can be extremely difficult to predict how you will feel and what you will do when triggered, and the spouse who doesn’t experience it can sometimes feel blindsided. It can be especially surprising because it is often the culmination of small behaviors which, over time, can break down the relationship. For example, one partner may decide that, after getting the silent treatment for the 100^th time, they’ve had enough, and that is the last straw.

Contrary to Public Profiles

It may also come as a surprise to those around them with respect to what they see on social media. A number of couples have their couple profiles so well-managed on social media that the last straw—and divorce itself—can come as a complete surprise to others in their lives.

Affects the Ability to Moving Forward

In most instances, the last straw isn’t as much of an outward event as it is a moment of self-realization; the realization that someone no longer wants to work on the issues they were perhaps willing to work on before. What this also means is that, if one person experiences it before or without the other, that person is usually able to grieve the end of the relationship before the other, and even emotionally detach themselves.

Contact Our Florida Divorce Attorneys

Of course, not every divorce involves a final straw. Regardless of what the circumstances are, selecting the right person to assist you and work alongside your interests is absolutely key. Contact our Florida divorce attorneys at HD Law Partners to find out more about how we can help you with next steps.

Posted in Divorce | No Comments »