Johnson v. Wortzel, 517 So. 2d 42 (Fla. 3d DCA 1987). · Go Syfert
Johnson v. Wortzel, 517 So. 2d 42 (Fla. 3d DCA 1987). Cases Citing This Book View Copy Cite
9 citation events (3 in the last 25 years) across 2 distinct courts.
Strongest positive: Hot Developers, Inc. v. Willow Lake Estates, Inc. (fladistctapp, 2007-03-21)
Top citers, strongest first. 5 distinct citers.
discussed Cited as authority (rule) Hot Developers, Inc. v. Willow Lake Estates, Inc.
Fla. Dist. Ct. App. · 2007 · confidence medium
Corp., 471 So.2d at 116-17 (upholding forfeiture of cancellation fees totaling 11.82% under two contracts); Bloom v. Chandler, 530 So.2d 341 (Fla. 4th *542 DCA 1988) (upholding a liquidated damages clause wherein the sellers retained a $49,500 deposit as liquidated damages on a contract for $225,000 or 22% of the purchase price); Hooper, 417 So.2d at 318 (upholding liquidated damages provision calling for forfeiture of 13.3% of the purchase price); Johnson v. Wortzel, 517 So.2d 42, 43 (Fla. 3d DCA 1987) (approving forfeiture of 18.2% of contract price); Bradley v. Sanchez, 943 So.2d 218, 222 (…
discussed Cited as authority (rule) Laudecio v. K-Site 500 Associates
Fla. Dist. Ct. App. · 1993 · confidence medium
Johnson v. Wortzel, 517 So.2d 42, 43 (Fla. 3d DCA1987), rev. denied, 528 So.2d 1184 (Fla.1988); Ruiz v. Huddle, 420 So.2d 327, 328 (Fla. 4th DCA1982); Bee Kay Realty Corp. v. Cayre, 256 So.2d 539 (Fla. 3d DCA), cert. denied, 263 So.2d 207 (Fla. 1972); Herrera y Nogueira v. Helker, 139 So.2d 895 (Fla. 3d DCA1962).
discussed Cited as authority (rule) Valdes v. Munne Enterprises, Inc.
Fla. Dist. Ct. App. · 1993 · confidence medium
Co., 548 So.2d 856, 859 (Fla. 4th DCA 1989); Johnson v. Wortzel, 517 So.2d 42, 43 (Fla. 3d DCA 1987), rev. denied, 528 So.2d 1184 (Fla.1988); Jay Vee Realty Corp. v. Jaymar Acres Inc., 436 So.2d 1053 (Fla. 4th DCA 1983); Reliable Servs., Inc. v. Taft, 247 So.2d 97 (Fla. 3d DCA 1971).
discussed Cited as authority (rule) Leeber v. Deltona Corp. (2×)
Me. · 1988 · confidence medium
Under Florida law, if the liquidated damages provision is not a penalty, it is enforceable unless the plaintiff proves the existence of one or more of the following factors: (1) an intimation of fraud on the seller’s part; (2) misfortune beyond his control accounting for the buyer’s failure to fulfill the contract; (3) a mutual rescission of the contract; or (4) a benefit to the seller “the retention of which [when compared to the total contract price would be] shocking to the conscience of the court.” Johnson v. Wortzel, 517 So.2d 42, 43 (Fla.Dist.Ct.App.1987) (per curiam) (alteration…
cited Cited "see, e.g." Liork, LLC v. Bh 150 Second Avenue, LLC
Fla. Dist. Ct. App. · 2018 · signal: see, e.g. · confidence low
See, e.g., Johnson v. Wortzel, 517 So. 2d 42 (Fla. 3d DCA 1987) (18.2%); Dade Nat’l Dev.
Lee P. JOHNSON, Katherine R. Johnson, and Earl N. Jaeck, Appellants,
v.
Alan WORTZEL, Marvin Gralnick and Helene Gralnick, Appellees.
86-1476.
District Court of Appeal of Florida, Third District.
Dec 1, 1987.
517 So. 2d 42
Hubbart, Nesbitt and Jorgenson.
Cited by 7 opinions  |  Published

Paul Morris, Gary R. Siegel, Coral Gables, for appellants Johnson.

Amato & Anderson and Louis X. Amato, Naples, for appellant Jaeck.

Finley, Kumble, Wagner, Heine, Underberg, Manley, Myerson & Casey and J. Michael Nifong and Roland C. Goss, Miami, for appellees.

Before HUBBART, NESBITT and JORGENSON, JJ.

PER CURIAM.

The parties entered into an executory contract for the sale of real estate in Marathon, Florida, at a purchase price of $1,900,000. After many months of negotiations and modifications to the contract, the parties closed in escrow, but Wortzel never executed nor delivered the purchase money mortgage. Johnson retook possession of the property and declined to return any of the items of consideration already received, whereupon Wortzel sought damages for fraud, breach of contract, conversion, civil theft, and unjust enrichment, and requested specific performance. Johnson counterclaimed, seeking damages for fraud and conversion and attempting to establish and enforce an equitable mortgage. After presenting testimony, the parties moved for a directed verdict. The trial court[*43] granted Johnson's motion as to the claims for fraud, breach of contract, conversion, and civil theft. It granted Wortzel's motion as to all counts in Johnson's counter-claim. The trial court denied specific performance and entered final judgment for Wortzel on his equitable claim of unjust enrichment.

The law in Florida is clear that a buyer in default is not entitled to recover from the seller money paid in part performance of an executory contract, even absent a forfeiture provision in the contract. Beatty v. Flannery, 49 So.2d 81 (Fla. 1950). See also Goldfarb v. Robertson, 82 So.2d 504 (Fla. 1955); Herrera Y Nogueira v. Helker, 139 So.2d 895 (Fla. 3d DCA 1962). Although a buyer in default may be heard in equity and be relieved of forfeiture if it appears unconscionable in light of circumstances existing at the time of breach, Hutchison v. Tompkins, 259 So.2d 129 (Fla. 1972), there must be circumstances sufficient to constitute an exception to the general rule requiring forfeiture of sums paid to the seller. We find that Beatty controls on the record before us and requires an inquiry whether any of the following circumstances are present: (1) an intimation of fraud on the seller's part; (2) misfortune beyond his control accounting for the buyer's failure to fulfill the contract; (3) a mutual rescission of the contract; or (4) a benefit to the seller "the retention of which [when compared to the total contract price would be] shocking to the conscience of the court." Beatty, 49 So.2d at 82.

We do not find that Johnson has been unjustly enriched in retaining items of consideration determined by the trial court to amount to $347,011.66, as compared to a total purchase price of $1,900,000. The amount forfeited by the buyers represents 18.2% of the total contract, a percentage that is not sufficient to shock the conscience of the court. See Dade National Dev. Corp. v. Southeast Invs., 471 So.2d 113 (Fla. 4th DCA 1985) (seller's obligation amounted to 18% of purchase price under $1,085,000 contract), rev. denied, 482 So.2d 349 (Fla. 1986); Hooper v. Breneman, 417 So.2d 315 (Fla. 5th DCA 1982) ($20,000 deposit retained by seller on $150,000 contract/13%); O'Neill v. Broadview, Inc., 112 So.2d 280 (Fla. 2d DCA 1959) ($1,500 deposit retained by seller on $10,440 contract/15%). None of the remaining Beatty exceptions are relevant here.

We, therefore, reverse and remand with directions to enter judgment in favor of Johnson on the unjust enrichment claim. However, in all other respects we affirm the trial court's order.

Affirmed in part, reversed in part, and remanded with directions.