Danny Lee v. Katja Lee
CourtDistrict Court of Appeal of Florida
Date FiledNovember 30, 2022
Docket2D21-1171
StatusPublished
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Full Opinion
DISTRICT COURT OF APPEAL OF FLORIDA
SECOND DISTRICT
DANNY LEE,
Appellant,
v.
KATJA LEE,
Appellee.
Nos. 2D21-1171, 2D21-3331
CONSOLIDATED
November 30, 2022
Appeals from the Circuit Court for Lee County; James Shenko and
John S. Carlin, Judges.
Christopher D. Donovan and Ehren J. Frey of Roetzel & Andress,
LPA, Naples, for Appellant.
Luis E. Insignares of Luis E. Insignares, P.A., Fort Myers, for
Appellee.
SMITH, Judge.
Danny Lee (the Former Husband) appeals the final judgment
in case 2D21-3331 (the family law action) that denied his amended
petition for distribution of marital assets, denied his request for
attorney's fees, and granted Katja Lee's (the Former Wife) request
for fees entered after the trial court found that the Former
Husband's action was unreasonable, vexatious, and not in good
faith. The Former Husband also appeals the order granting final
summary judgment in Case 2D21-1171 (the partition action),
entered in favor of the Former Wife in a separate action filed by the
Former Wife for partition of the parties' Florida marital home. In
both cases, the Former Husband appeals the trial court's separate
orders denying his motions to consolidate these cases. We
consolidate the appeals of family law action and the partition action
for purposes of this opinion.
I.
The parties were married in 1996. During their marriage, they
accumulated marital assets and debt. In the summer of 2014, the
Former Wife was offered a job in Finland. The parties agreed that
she would take the job and that she and the two minor children
would immediately move to Finland. The initial plan was for the
Former Husband to stay in Florida to tie-up loose ends—selling the
parties' cars and home—and eventually join the Former Wife and
2
children in Finland. That plan did not pan out, and on December
15, 2015, the Former Wife filed for divorce in Finland.
Unlike dissolution proceedings in Florida, Finland has a
"divisible divorce" process, in which the court first dissolves the
marriage, followed, if necessary, by separate proceedings to
determine issues related to child custody, child support, alimony,
and equitable distribution. See Hilkka Salmenkylä, Family Law in
Finland: Overview, Practical Law Country Q&A 8-576-1745 (2020)
(explaining that in Finland the distribution of marital property can
be carried out if a spouse demands it, but that the distribution is
carried out by an estate distributor, not the court; involuntary
maintenance (alimony) is to be considered after the divorce; a claim
for child maintenance can be handled separately from the divorce;
child custody matters are also handled separately, after the divorce
has been granted); see also Davis v. Dieujuste, 496 So. 2d 806, 807
(Fla. 1986) (recognizing the concept of "divisible divorce" as a
dissolution proceeding that has at least two parts: one related to the
marital status of the parties and another related to property rights
and support obligations). Accordingly, the parties were divorced by
the Finnish court in December 2016, and the Finnish court
3
resolved all child-related issues separately. Both parties agree that
the Finnish court did not resolve any equitable distribution or
alimony issues.1
Thereafter, on June 27, 2018, the Former Husband, pro se,
filed a petition for dissolution in Lee County, in which he requested
equitable distribution and alimony, using the supreme court
approved form. The Former Husband encountered issues when he
attempted to have the Former Wife served. In March 2019, the
Former Wife refused the paperwork because the complaint was not
in Finnish, although the record reflects that she speaks English and
is in fact a U.S. citizen.
That same month, March 2019, the Former Wife filed a
competing complaint, also in Lee County, seeking partition of the
1 Florida courts have jurisdiction to consider and resolve
issues related to equitable distribution and alimony that were not
decided by the Finnish court where the Former Wife appeared in the
Florida courts and sought affirmative relief in the partition action.
See Davis, 496 So. 2d at 809 (explaining where the foreign court
lacked jurisdiction to determine the respective property rights and
obligations of the parties, postdissolution actions seeking
adjudication of these matters is proper); see also Binger v. Binger,
555 So. 2d 373 (Fla. 1st DCA 1989) (holding that Missouri divorce
decree did not divest Florida court of jurisdiction to determine
alimony and property rights where the Missouri judgment did not
adjudicate those issues).
4
parties' Florida marital home. The Former Husband filed no less
than three motions to consolidate the partition action with the
family law action.
On February 2, 2020, the Former Wife filed a motion for
summary judgment in the partition action, arguing that the Former
Husband's answer admitted the property was jointly held by the
parties as tenants in common and raised no defenses to the
allegation that the property is nondivisible.
On May 15, 2020, the Former Husband filed a motion for
accounting, requesting that the partition court perform an
accounting to determine what credits each party was entitled to
upon the sale of the property. On July 1, 2020, the Former
Husband sought leave to amend his answer to the partition action,
acknowledging that his pro se answer included deficiencies. The
proposed amended answer included a counterpetition for partition
and included a request for an accounting alleging that the Former
Husband made all the financial contributions to the marital home
and that he is thus entitled to credits.
After a hearing on both the Former Husband's motion to
amend his answer and the Former Wife's motion for summary
5
judgment, the partition court denied the Former Husband's motion
for leave to amend his answer, finding the motion was filed too late
where the hearing on the motion for summary judgment was
scheduled at the time of the filing. The partition court then granted
the Former Wife's motion for summary judgment, ordered the sale
of the marital home, and ordered that the proceeds from such sale
be divided evenly between the parties. The final summary judgment
order reserved jurisdiction to enforce the terms of the order.
Meanwhile, in the family law action, the Former Husband,
through counsel, filed an amended petition now titled "Amended
Petition for Disposition of Assets Following Dissolution of Marriage,
Spousal Support, Partition and Other Related Relief." On March
11, 2020, the Former Wife filed her answer and affirmative defenses
to the amended petition.2
2 After the Former Wife refused service of the family law
complaint in Finland, the Former Husband constructively served
the Former Wife and obtained a default judgment against her. The
Former Wife then moved to vacate the default and concurrently filed
a motion to dismiss alleging a lack of personal jurisdiction. The
Former Wife's motion to vacate the default was granted, but her
motion to dismiss was denied. She filed an answer to the Former
Husband's amended petition, which did not raise any issues
arguing deficient service or any argument related to the family law
court's lack of personal jurisdiction over her. She later filed an
6
The Former Husband's amended financial affidavit shows
marital assets and liabilities, including five bank accounts, two
stock plans, eight retirement plans, two cars, a mortgage and
expenses related to the Florida home, a mortgage on the Finland
home, and eight credit cards. The Former Wife's financial affidavit
lists cash, retirement plans, one car, a mortgage on the Finland
home, and credit card debt.
At the final hearing, the Former Husband presented financial
statements related to the mortgage payments made on the Florida
home, bank accounts, and credit cards, as well as maintenance
bills related to work done on the Florida Home prior to the parties'
divorce, documents related to the value of the Finland property, and
documents related to the stock accounts and retirement plans. The
Former Husband testified that after the Former Wife moved to
Finland, she did not send any funds to the U.S., and her credit
cards and expenses in the U.S. were all paid from funds existing in
joint accounts. The Former Husband testified he paid his living
expenses with the cash from the joint accounts and credit cards.
amended answer, which did raise issues related to deficient process
of service and a lack of personal jurisdiction.
7
The Former Husband testified that he has paid all of the credit card
debt that existed at the time of their divorce. He further testified
that the house in Finland was purchased prior to the Former Wife
filing for divorce, and that after the Former Wife filed for divorce,
she did not contribute to the household expenses related to the
home in Florida, nor did she contribute any monies to pay off any of
the credit card debt.
The Former Wife testified acknowledging that there was
marital credit card debt at the time of the divorce and also
admitting that she did not send any money to the U.S.—either
before or after the divorce—and that she did not pay anything
towards maintenance of the Florida home after the divorce.
After the final hearing, the family law court asked both parties
to submit proposed orders. Ultimately, the family law court
rendered a final judgment denying the Former Husband's amended
petition for disposition of assets following dissolution of marriage,
finding that the only legally viable remedy prayed for was for the
partition of the Florida home, which had already been accomplished
in the partition action. With regard to the Former Husband's
request for an award of alimony, the family law court found that the
8
Former Husband had already waived his right to seek alimony "due
to the Finnish decree having not made any such award." Finally,
the family law court denied the Former Husband's request for
attorney's fees because he failed to prove his need, and the Former
Wife's ability to pay, and also because the Former Husband caused
"avoidable litigation expense." But the family law court granted the
Former Wife's motion for attorney's fees finding the
Former Husband's insistence on pursuing a second
lawsuit, when the only legally viable remedy prayed for
herein was partition of the parties' Lee County real
property in Count II, and when such partition relief was
also already being sought by Former Wife in the
companion case (in which case judgment has already
been entered), unreasonably caused Former Wife to incur
avoidable litigation expense herein, and Former
Husband's insistence on taking this second suit to
judgment under these circumstances was vexatious,
unreasonable, and was not in good faith.
The Former Husband timely appealed the final judgment in
the family law action and the final summary judgment in the
partition action.
II.
We first address the trial courts' failure to consolidate the
partition action with the family law action. A trial court's refusal to
consolidate separate actions involving common questions of law of
9
fact is reviewed for an abuse of discretion. Philogene v. ABN Amro
Mortg. Grp. Inc., 948 So. 2d 45 (Fla. 4th DCA 2006).
Florida Rule of Civil Procedure 1.270(a) governs consolidation
and provides:
When actions involving a common question of law or fact
are pending before the court, it may order a joint hearing
or trial of any or all the matters in issue in the actions; it
may order all the actions consolidated; and it may make
such orders concerning proceedings therein as may tend
to avoid unnecessary costs or delay.
Consolidation may happen at any time prior to trial at the trial
court's discretion. Baker v. Rowe, 136 So. 681, 683 (Fla. 1931).
In deciding whether the consolidate cases, a trial
court must consider: (1) whether the trial process will be
accelerated due to consolidation; (2) whether
unnecessary costs and delays can be avoided by
consolidation; (3) whether there is the possibility for
inconsistent verdicts; (4) whether consolidation would
eliminate duplicative trials that involve substantially the
same core of operative facts and questions of law; and (5)
whether consolidation would deprive a party of a
substantive right.
State Farm Fla. Ins. Co. v. Bonham, 886 So. 2d 1072, 1074 (Fla. 5th
DCA 2004). The partition court and the family law court both
abused its discretion in denying consolidation.
Where two actions are pending that involve the same
questions of law and have questions of fact in common, "the
10
administration of justice is best served by an order which averts the
piecemeal handling of the claims between the parties." Wilson v.
Wahl, 383 So. 2d 311, 311 (Fla. 2d DCA 1980). The supreme court
has held, "It seems clear that adjudication of the claim for separate
maintenance can be more practically and expeditiously adjudicated
in a suit for divorce if one be, at the time, pending, and that proper
practice dictates that such procedure should be followed." Evans v.
Evans, 194 So. 215, 217 (Fla. 1940). "[T]he possibility of a delay of
the case already set for trial . . . alone is insufficient" to deny a
motion to consolidate. Pages v. Dominguez By and Through
Dominguez, 652 So. 2d 864, 867 (Fla. 4th DCA 1995); see also
Maharaj v. Grossman, 619 So. 2d 399, 401 (Fla. 4th DCA 1993)
(quashing order denying consolidation where "the trial judge
apparently denied consolidation because the case assigned to him
was already set for trial, and he did not want to delay its
disposition").
In the instant case, the issues are the same in both the
partition action and the family law action; the parties are the same;
consolidation would certainly have expedited the disposal of all
claims between the parties, avoided additional legal expenses, and
11
avoided duplicative trials; and no party would have been deprived
any substantive rights. In short, consolidating the partition action
with the family law action allows for a faster, cheaper, and more
complete disposition of the parties' claims. While the record reveals
that at least one of these motions to consolidate was denied
because the partition action was close to trial, that is not reason
enough to deny consolidation. See Pages, 652 So. 2d at 867
(holding "the possibility of a delay of the case already set for trial
. . . alone is insufficient" to deny a motion to consolidate). As the
Fourth District aptly stated, "While disposing of cases is important,
it is not as important as the efficient and proper administration of
justice." Maharaj, 619 So. 2d at 401. Because both the partition
court and the family law court abused their discretion in denying
the motions to consolidate, on remand, the cases must be
consolidated for further proceedings.
III.
In the family law case, the Former Husband appeals the trial
court's order dismissing his petition for distribution of assets,
denying his request for attorney's fees, and granting the Former
12
Wife's motion for attorney's fees to be paid from the Former
Husband's portion of the sale proceeds from the partitioned home.3
a. Failure to distribute assets/liabilities
The Former Husband argues the trial court erred in refusing
to consider and equitably distribute the parties' marital property
and liabilities where the Florida house was not the only marital
property at stake. "While we review the trial court's factual findings
under an abuse of discretion standard, failure to make the factual
findings is an abuse of discretion and has been held to be reversible
3 To the extent the Former Husband argues the trial court
abused its discretion in denying his request to reopen the evidence
so that he could introduce evidence to rebut the Former Wife's
allegations related to cash advances taken out against marital
credit cards, we affirm the family law court's decision without
comment. Furthermore, to the extent the Former Husband argues
the family law court erred in allowing the Former Wife to amend her
pleadings to challenge service and personal jurisdiction, we note
that the final judgment does not say anything about the Former
Wife's challenge to service of process or personal jurisdiction but
instead rules upon the merits of the case, indicating that the family
law court rejected the Former Wife's arguments related to the same.
Nevertheless, because we hold that the two cases should be
consolidated, the Former Wife has waived any claim related to lack
of personal jurisdiction where she is seeking affirmative relief in the
partition action. See Babcock v. Whatmore, 707 So. 2d 702, 704
(Fla. 1998) ("[A] defendant waives a challenge to personal
jurisdiction by seeking affirmative relief—such requests are logically
inconsistent with an initial defense of lack of jurisdiction.").
13
error." Ortiz v. Ortiz, 306 So. 3d 1081, 1082 (Fla. 3d DCA 2020)
(citing Callwood v. Callwood, 221 So. 3d 1198, 1201–02 (Fla. 4th
DCA 2017)).
"Generally stated, equitable distribution of marital assets is a
three-step process: (1) identification of marital and nonmarital
assets, (2) valuation of marital assets, and (3) distribution of marital
assets as statutorily prescribed." Keurst v. Keurst, 202 So. 3d 123,
127 (Fla. 2d DCA 2016) (citing § 61.075(1), (3), Fla. Stat. (2013)). It
is reversible error if the trial court fails to identify and distribute
marital assets. See Morgan v. Morgan, 327 So. 3d 898, 899 (Fla. 2d
DCA 2021) ("[T]he trial court erred because it did not identify all the
parties' assets and liabilities and classify them as either marital or
nonmarital." (citation omitted)); Tritschler v. Tritschler, 273 So. 3d
1161, 1164 (Fla. 2d DCA 2019) ("[N]owhere does the judgment
purport to identify any of the parties' nonmarital assets even
though there was evidence presented at the hearing that at least a
portion of the Husband's Thrift Savings Plan was accrued before the
marriage. These errors, apparent on the face of the judgment,
require reversal of the equitable distribution scheme."); Pavese v.
Pavese, 932 So. 2d 1269, 1269 (Fla. 2d DCA 2006) ("In fashioning
14
an equitable distribution, a court is required to make specific
written findings of fact that identify, classify, value, and distribute
the parties' assets and liabilities. A final judgment without such
findings must be reversed." (internal citations omitted)); Pignataro v.
Rutledge, 841 So. 2d 636, 639 (Fla. 2d DCA 2003) ("[T]he final
judgment does not identify or value any of the parties' assets or
liabilities, and it provides no factual findings to support the
distribution scheme.").
In this case, despite there being evidence relating to the
parties' bank account balances, retirement plans, stock accounts,
cars, the Finland house, and credit card debt, the trial court's order
dismissing the petition for distribution of assets finds that the only
marital asset was the house in Florida—which had already been
sold in the partition action. This was error. Accordingly, we reverse
the final judgment and remand for the trial court to identify all
marital and nonmarital assets and liabilities of the parties, value
the marital assets and liabilities, distribute the marital assets and
liabilities, and finally, calculate a proper equalizing payment, if
necessary. See Tritschler, 273 So. 3d at 1164.
b. Failure to consider alimony request
15
The Former Husband further argues the trial court erred in
failing to consider his claim for alimony, which he contends was not
considered or ruled upon by the Finnish court and was requested in
his amended petition before the trial court. We review the trial
court's ruling on the alimony request for an abuse of discretion.
Wabeke v. Wabeke, 21 So. 3d 793, 795 (Fla. 2d DCA 2009).
When awarding or denying alimony, a court is
required to make factual findings pertinent to the marital
standard of living, the duration of the marriage, the age
and health of the parties, and the economic
circumstances of the parties. § 61.08, Fla. Stat. (2003).
The failure to make such findings is reversible error.
Walker v. Walker, 818 So. 2d 711 (Fla. 2d DCA 2002);
Farley v. Farley, 800 So. 2d 710 (Fla. 2d DCA 2001).
Pavese, 932 So. 2d at 1269.
The final judgment denying the Former Husband's request for
alimony provides:
As to the alimony claim, Petitioner Former
Husband's initial pleading sought "dissolution of
marriage" even though he well knew the parties had
already been divorced in Finland, which was doubly
objectionable for requesting alimony (also sought in the
amended petition), a remedy the pursuit of which he had
already waived, due to the Finnish decree having not
made any such award, and Former Husband not having
appealed such judgment. See, Campbell v. State, 9 So.
3d 59 (Fla. 1st DCA 2009) (party's failure to raise issue
on appeal previously does not make trial court ruling
16
"law of the case," but does constitute waiver of any
subsequent challenge to trial court ruling.)
This finding by the trial court is not supported by competent,
substantial evidence where both parties testified, and the translated
copy of the Finnish divorce decree indicates that the Finnish court
did not consider or rule upon any issues related to alimony.
Therefore, because the issue was not ruled upon by the Finnish
court, the Former Husband's alimony claim was not waived, and we
consider this claim below. See Binger v. Binger, 555 So. 2d 373
(Fla. 1st DCA 1989) (holding that foreign divorce decree did not
divest Florida court of jurisdiction to determine alimony and
property rights where the foreign judgment did not adjudicate those
issues).
Section 61.08(2) provides several factors that the court "shall
consider" when fashioning an alimony award:
(a) The standard of living established during the
marriage.
(b) The duration of the marriage.
(c) The age and the physical and emotional condition of
each party.
17
(d) The financial resources of each party, the
nonmarital and the marital assets and liabilities
distributed to each.
(e) When applicable, the time necessary for either party
to acquire sufficient education or training to enable
such party to find appropriate employment.
(f) The contribution of each party to the marriage,
including, but not limited to, services rendered in
homemaking, childcare, education, and career
building of the other party.
(g) All sources of income available to either party.
"A trial court's failure to make specific factual findings with
regard to alimony 'may preclude meaningful appellate review[ ] and
result in a case having to be reversed and remanded.' " Ruberg v.
Ruberg, 858 So. 2d 1147, 1155 (Fla. 2d DCA 2003) (quoting Walsh
v. Walsh, 600 So. 2d 1222, 1223 (Fla. 1st DCA 1992)).
Here, because the trial court determined that the alimony
claim was waived by the Former Husband's failure to appeal the
Finnish final judgment, the trial court never reached the issue and
thus, failed to make any findings regarding the required factors in
section 61.08(2). Accordingly, we reverse the judgment as it relates
to the Former Husband's request for alimony and remand for the
18
trial court to make the appropriate findings, recognizing that this
may require a further evidentiary hearing.4
c. Attorneys' fees
The Former Husband alleges the trial court erred in denying
his request for attorneys' fees and granting the Former Wife's
request for fees where the litigation was not vexatious and where
the Former Wife failed to present any evidence that would support
the award amount. "We review an award of attorney's fees . . . for
abuse of discretion." Arena v. Arena, 103 So. 3d 1044, 1045 (Fla.
2d DCA 2013).
Attorneys' fees in cases related to the distribution of marital
assets are governed by section 61.16, and the trial court's primary
focus is on the financial resources of the parties. See Rosen v.
Rosen, 696 So. 2d 697, 699–700 (Fla. 1997). But the trial court
also has the inherent authority to award attorneys' fees under the
inequitable conduct doctrine. Myrick v. Myrick, 214 So. 3d 769,
4 In reversing the final judgment as it relates to the lack of
findings on the Former Husband's request for alimony, we make no
comment as to whether the Former Husband is entitled to alimony.
19
772 (Fla. 2d DCA 2017). An award of attorneys' fees pursuant to
the inequitable conduct doctrine is
"rarely applicable and should be reserved for extreme
cases in which a party litigates vexatiously and in bad
faith." Hallac v. Hallac, 88 So. 3d 253, 259 (Fla. 4th DCA
2012). "When a court uses its inherent authority to
assess attorney's fees, the court must make an express
finding of bad faith and include facts justifying the
imposition of the award." Hahamovitch [v. Hahamovitch],
133 So. 3d [1020,] 1025 [(Fla. 4th DCA 2014)]; see also
Moakley v. Smallwood, 826 So. 2d 221, 227 (Fla. 2002)
("[A] finding of bad faith conduct must be predicated on a
high degree of specificity in the factual findings."). The
trial court must also explicitly apportion the amount of
the award that is directly related to the attorney fees and
costs that the opposing party incurred as a result of the
additional work caused by the specific bad faith conduct
of the other party. Heiny v. Heiny, 113 So. 3d 897, 903
(Fla. 2d DCA 2013). Unlike the scheme under section
61.16, when proceeding under the inequitable conduct
doctrine the trial court does not need to make an express
finding of need and ability to pay. Becker v. Becker, 778
So.2d 438, 439 (Fla. 1st DCA 2001).
Id.
In this case, the trial court found:
Respondent Former Wife's attorney's fee claim is
GRANTED, for the reasons set forth in her motion
requesting same, including but not limited to Rosen v.
Rosen, 696 So. 2d 697 (Fla. 1997); Wrona v. Wrona, 592
So. 2d 694 (Fla. 2d DCA 1991), and related authority.
Former Husband's insistence on pursuing a second
lawsuit, when the only legally viable remedy prayed for
herein was partition of the parties' Lee County real
property in Count II, and when such partition relief was
20
also already being sought by Former Wife in the
companion case (in which case judgment has been
entered), unreasonably caused Former Wife to incur
avoidable litigation expense herein, and Former
Husband's insistence on taking this second suit to
judgment under these circumstances was vexatious,
unreasonable, and was not in good faith.
Contrary to the trial court's findings, it was the Former Wife
who brought the second-in-time suit after she learned that the
Former Husband was seeking to equitably distribute their marital
assets and liabilities. Moreover, the vague finding that the Former
Husband's "insistence in taking this second suit to judgment" lacks
the " 'high degree of specificity' required by Moakley, 826 So. 2d at
227." See Myrick, 214 So. 3d at 773.
Furthermore, the trial court's vexatious finding constitutes an
abuse of discretion in that none of the Former Husband's actions
rise to the level of conduct that the inequitable conduct doctrine
was designed to punish. Id. (citing Rogers v. Wiggins, 198 So. 3d
1119, 1122 (Fla. 2d DCA 2016) ("While the trial court viewed the
mother's actions as selfish and contrary to the best interests of the
child, those findings in and of themselves do not support an award
of fees as a sanction under the inequitable conduct doctrine."). The
Former Husband's suit to equitably distribute the parties' catalogue
21
of marital assets amassed during an eighteen-year marriage and
refusal to dismiss that case when only the Florida house was
partitioned does not amount to a finding of vexatious or bad faith.
See Hallac, 88 So. 3d at 260–61 ("[T]he trial court abused its
discretion in awarding fees to the husband to be assessed against
the wife, because the refusal to settle the case in and of itself
cannot be the basis for an award of attorney's fees against the
refusing party.").
Accordingly, we reverse the award of attorneys' fees and costs
to the Former Wife and remand for the trial court to reconsider each
party's need and ability to pay under section 61.16 following its
newly calculated equitable distribution on remand. See Whittlesey
v. Whittlesey, 971 So. 2d 1040, 1042 (Fla. 2d DCA 2008) ("Because
the trial court's determination of entitlement to fees was based on
the now reversed equitable distribution scheme, the trial court's
determination of entitlement to fees must also be reversed.").
IV.
Finally, with regard to the partition action, the Former
Husband argues the trial court erred in failing to consider certain
credits prior to apportioning the proceeds derived from the court-
22
ordered sale of the Florida house. We review the partition court's
order for an abuse of discretion. Wood v. Friedman, 388 So. 2d
1355, 1358 (Fla. 5th DCA 1980).
"Upon dissolution of marriage, tenants of an estate
by the entirety become tenants in common." McCarthy v.
McCarthy, 922 So. 2d 223, 226 (Fla. 3d DCA 2005)
(citation omitted). Tenants in common bear "equal
responsibility in making all payments necessary to
maintain their ownership of the property." Kelly v. Kelly,
583 So. 2d 667, 668 (Fla. 1991). Thus, each co-tenant is
ultimately liable for his or her proportionate share of the
"taxes, mortgage payments, insurance and maintenance
and repair." McCarthy, 922 So. 2d at 226. Accordingly,
upon partition, a tenant shouldering a disproportionate
responsibility for those obligations "is entitled to credit
from the proceeds of the sale for the other co-tenant's
proportionate share of those expenses." Id. (citation
omitted).
Martinez-Noda v. Pascual, 305 So. 3d 321, 323 (Fla. 3d DCA 2020)
(emphasis added). "[T]he trial court must make a finding of the
value of the marital residence, order its sale, and then direct that
the proceeds of the sale be impounded subject to an ancillary
proceeding to establish the credits due between the parties."
Burnett v. Burnett, 742 So. 2d 859, 861 (Fla. 2d DCA 1999) (citing
§ 64.051—64.071, Fla. Stat. (1997)); Chaney v. Chaney, 619 So. 2d
440, 441 (Fla. 2d DCA 1993) (emphasis added)).
23
Initially, we hold that the partition court abused its discretion
in denying the Former Husband's motion to amend his answer in
the partition action to assert a claim for credits.
"Public policy favors the liberal amendment of
pleadings so that cases may be decided on their merits."
EAC USA, Inc. v. Kawa, 805 So. 2d 1, 5 (Fla. 2d DCA
2001) (citing Craig v. E. Pasco Med. Ctr., Inc., 650 So. 2d
179 (Fla. 2d DCA 1995)); see also Fla. R. Civ. P. 1.190
(providing that "leave of court [to amend pleadings] shall
be given freely when justice so requires"). All doubts
must be resolved in favor of allowing the amendment of
pleadings. See EAC USA, Inc., 805 So. 2d at 5. Because
of this policy favoring the liberal amendment of
pleadings, refusal to permit an amendment constitutes
an abuse of discretion unless (1) the privilege to amend
has been abused, (2) the amendment would be futile, or
(3) the amendment would prejudice the opposing party.
See id.; Carter v. Ferrell, 666 So. 2d 556, 557 (Fla. 2d
DCA 1995).
Southern Dev. & Earthmoving, Inc. v. Caterpillar Fin. Servs. Corp., 56
So. 3d 56, 62–63 (Fla. 2d DCA 2011).
None of the three exceptions to the liberal policy of allowing
amendments are present in this case. There was no competent
substantial evidence that the Former Husband had previously
abused the right to amend, the amendment was not futile where it
would allow the Former Husband to formally request credits due to
him, and the amendment would not prejudice the Former Wife, who
24
knew the Former Husband was claiming credits dating back to
2014 related to the maintenance of the Florida house. Under these
facts, the trial court abused its discretion in denying the motion for
leave to amend.
But even though the Former Husband had not raised the
accounting issue regarding the credits in his answer, his pleadings
sufficiently pled the credits, thus necessitating the partition court to
conduct an inquiry into any required credits; in fact, the case law
provides that the trial court is required to make specific findings as
to the value of the property, the parties' interests in the property,
and any obligations either party may have paid. See Burnett, 742
So. 2d at 861. The Former Husband's partition complaint expressly
alleges, "The court should determine the rights and interests of the
parties pursuant to § 64.051[,] Fla. Stat. (2018)." This necessarily
includes an accounting establishing the credits due between the
parties. No credits were considered by the partition court. This
was error.
Accordingly, the partition court was required to hold an
ancillary proceeding to determine the credits due to the parties.
Because both parties petitioned to have the property partitioned, we
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affirm the partition judgment to the extent that it ordered the
property to be sold; however, we reverse in part and remand for the
family law court to determine what credits, if any, are due between
the parties as part of the consolidation of these cases on remand.
V.
Because the family law court wholly failed to distribute the
parties' marital assets and liabilities, failed to make the proper
findings required when considering whether to award alimony, and
abused its discretion in awarding the Former Wife's attorney's fees
under the inequitable conduct doctrine, we reverse the final
judgment entered on the amended petition for the distribution of
marital assets. With regard to the partition action, we affirm the
partition final judgment to the extent that it ordered the Florida
home sold but reverse that portion of the judgment that determines
the interests of the parties in the proceeds from that sale and
remand for the court to determine what credits, if any, are due to
each party. Finally, on remand, the partition case and the family
law case must be consolidated to achieve a global and equitable
distribution of the parties' marital assets and liabilities.
Affirmed in part, reversed in part, and remanded.
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MORRIS, C.J., and NORTHCUTT, J., Concur.
Opinion subject to revision prior to official publication.
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