Ronald Aleman v. Juan Gervas
CourtDistrict Court of Appeal of Florida
Date FiledOctober 21, 2020
Docket3D19-2255
StatusPublished
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Full Opinion
Third District Court of Appeal
State of Florida
Opinion filed October 21, 2020.
Not final until disposition of timely filed motion for rehearing.
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No. 3D19-2255
Lower Tribunal No. 18-11879
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Ronald Aleman,
Appellant,
vs.
Juan Gervas,
Appellee.
An Appeal from the Circuit Court for Miami-Dade County, Thomas J. Rebull,
Judge.
Fowler White Burnett, P.A., and Juan C. Zorrilla, for appellant.
Wasson & Associates, Chartered, and Annabel C. Majewski; Michael
Lascelle, P.A., and Michael J. Lascelle; Jeffrey S. Greenhaus, P.A., and Jeffrey S.
Greenhaus, for appellee.
Before FERNANDEZ, LOGUE and GORDO, JJ.
PER CURIAM.
Ronald Aleman appeals a final judgment in favor of Juan Gervas, denying
recovery to Aleman in this breach of contract case. We have jurisdiction. Fla. R.
App. P. 9.030(b)(1)(A). Aleman argues that the trial court erroneously interpreted
an unambiguous contractual provision. Finding no error in the trial court’s
interpretation of the contractual language at issue, we affirm.
Aleman is the principal of RHC Capital, LLC, and Gervas is the principal of
MHG Group, LLC. The LLCs were equal partners and owners of Morningside
Management, LLC. Separately, the parties owned other entities that also did
business with each other. In March of 2016, the parties decided to part ways and
separate all their business interests. To that end, Aleman and Gervas executed a
reorganization agreement.
The provision in the agreement relating to Morningside stated as follows:
6. Morningside Management LLC. The Parties are equal
owners, directly or indirectly, of Morningside
Management LLC (“MM”). The Parties will endeavor to
restructure or liquidate this company and pay the amounts
owed to Raymond [Aleman]. Within thirty (30) days of
the date of this Agreement, each of Gervas and Aleman
will pay one half of the amounts owed to the law firms of
Murai Wald Biondo & Moreno P.A. and Lagos and
Priovolos.
At the time the reorganization agreement was executed, Morningside owed
Raymond Aleman, a company investor, $80,000. Aleman paid Raymond the full
amount due, without contribution from Gervas. Raymond assigned his rights and
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interest under paragraph 6 of the reorganization agreement to Aleman who then
brought a breach of contract action against Gervas, personally.
The issue on appeal stems from the interpretation of the following sentence
from the Morningside provision: “The Parties will endeavor to restructure or
liquidate this company and pay the amounts owed to Raymond.” At trial, Aleman
and Gervas stipulated that the sentence was unambiguous but argued for varying
interpretations of it. 1 Aleman argued that he and Gervas were individually
responsible for paying Raymond any amounts due. Gervas argued that when read
in context, the sentence at issue clearly demonstrates the parties did not intend for
there to be individual liability to Raymond, but, rather, that the money should come
from the restructuring or liquidation of Morningside Management, LLC. The trial
court agreed the sentence was unambiguous, adopted Gervas’s interpretation and
entered judgment accordingly.
A court must begin its analysis by “examin[ing] the plain language of the
contract for evidence of the parties’ intent.” Beach Towing Servs., Inc. v. Sunset
Land Assocs., LLC, 278 So. 3d 857, 860 (Fla. 3d DCA 2019) (quoting Perez-Gurri
1
Despite the stipulation of the parties, in an abundance of caution, the trial court
held a non-jury trial during which it heard parol evidence in the event that the
contractual provision was deemed ambiguous and required interpretation to
ascertain the parties’ intent. Aleman challenges the trial court’s receipt of this parol
evidence. We affirm that issue without further discussion. See Charbonier Food
Services, LLC v. 121 Alhambra Tower, LLC, 206 So. 3d 755 (Fla. 3d DCA 2016).
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Corp. v. McLeod, 238 So. 3d 347, 350 (Fla. 3d DCA 2017)). “To ascertain the
intention of the parties to a contract, the trial court must examine the whole
instrument, not just particular portions, and reach an interpretation consistent with
reason, probability, and the practical aspects of the transaction between the parties.”
Bucacci v. Boutin, 933 So. 2d 580, 585 (Fla. 3d DCA 2006) (quoting Macaw v.
Gross, 452 So. 2d 1126 (Fla. 3d DCA 1984)). “[A] court may not interpret a contract
so as to render a portion of its language meaningless or useless.” TRG Columbus
Dev. Venture, Ltd. v. Sifontes, 163 So 3d 548, 552 (Fla. 3d DCA 2015) (citing
Moore v. State Farm Mut. Auto. Ins. Co., 916 So. 2d 871, 877 (Fla. 2d DCA 2006)).
Also, “[a]s a general proposition, the use of different language in different
contractual provisions strongly implies that a different meaning was intended.”
Fowler v. Gartner, 89 So. 3d 1047, 1048 (Fla. 3d DCA 2012) (quoting Kel Homes,
LLC v. Burris, 933 So. 2d 699, 703 (Fla. 2d DCA 2006)).
The parties agreed to “endeavor” to restructure or liquidate Morningside
Management, LLC, in order to pay Raymond. To endeavor means “to attempt
(something, such as the fulfillment of an obligation) by exertion of effort.” 2 A
reading of the plain language of the Morningside provision demonstrates that
Aleman and Gervas, who each held interests in Morningside through their own,
2
Endeavor, Merriam-Webster, https://www.merriam-
webster.com/dictionary/endeavor (last visited October 20, 2020).
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separate LLCs, endeavored to pay Raymond from the restructuring or liquidation of
Morningside.
We note that to accept Aleman’s interpretation of the contract, that the parties
intended to impose individual liability on one another for the payment of funds due
to Raymond, would run afoul of basic contract interpretation principles. The parties
used different language where they specifically intended to impose individual
liability, which “strongly implies that a different meaning was intended” where they
omitted such language. Fowler, 89 So. 3d at 1048. The sentence in the contract
immediately following the one at issue here, 3 makes clear that the parties knew how
to draft a provision imposing individual liability where they intended it.
Accordingly, we affirm the trial court’s entry of final judgment in favor of Gervas.
Affirmed.
3
That sentence states, “Within thirty (30) days of the date of this Agreement, each
of Gervas and Aleman will pay one half of the amounts owed to the law firms of
Murai Wald Biondo & Moreno P.A. and Lagos and Priovolos.”
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