Legal Question in Real Estate Law in Florida
Maximum Judgment allowed when a lease is broken
My elderly Aunt is being sued in Miami, Florida, by her prior landlord. She leased office space in Venice, Florida for her travel agency for appx 10 years. She had appx 1 year left on the lease when her health and finances deteriorated. She found a buyer for the business, but when the landlord met him the landlord wanted a much higher rent and scared him off. Ultimately, she was forced to close her business and is now being sued by the landlord. The office space was vacant for appx 5 months until it was leased again. Aunt had a legal aid attorney who answered the complaint and interrogatories but has withdrawn because she can't afford to go to Miami to represent Aunt. I called the court, they said Aunt has to hire an attorney because the corporation is being sued. She has absolutely no money for an attorney, no job and lives off of social security in a beat up mobile home. Would it be okay to just let them enter a Judgment? Would the maximum amount only be for the five months the space was empty? Can they go after her social security or her mobile home? She wanted to go to court to tell her side but it doesn't sound like the judge will allow that. Court date is 11/22/02. Please advise. Thank you.
3 Answers from Attorneys
Re: Maximum Judgment allowed when a lease is broken
Your aunt should hire an attorney. The judgment amount could exceed the 5 months unapid rent if the attorneys fees and costs are not paid. I believe her social security would be exempt and so would her homestead.
It sounds like your aunt may have a counterclaim against the landlord for tortiously interfering with a prospective business relationship wth the purchaser of her business. I don't know why the landlord denying the prospective sublessee, and whether the contract even permitted it. Even if the contract did not permit subleases, there is only one way to actually make that type of provision enforceable. Considering your aunt's situation I might be willing to handle the case on a reduced fee basis, but I would need to talk with her. Let me know. Time is of the essence if the case is pending and there is no lawyer.
Sincerely,
Randall L. Gilbert
Re: Maximum Judgment allowed when a lease is broken
If the landlord is suing the corporation and the corporation has no assets then your aunt need not worry. If your aunt is being sued in her individual capacity she will need an attorney.
Re: Maximum Judgment allowed when a lease is broken
If the tenant and only named defendant in the lawsuit is the corporation, and the corporation has no assets, then your aunt does not have much to worry about if a final default judgment is entered because there will be nothing for the plaintiff (judgment creditor) to collect. Your aunt's property, which includes social security benefits and a mobile home, is separate and apart from the corporation's property, so the plaintiff cannot attach your aunt's assets simply because your aunt happens to own the corporation. Further, even if the judgment was against your aunt individually, social security benefits are exempt from the claims of creditors. Moreover, if the mobile home is legally considered your aunt's homestead property, it too is exempt from the claims of creditors unless she voluntarily signs a mortgage on the mobile home, in which case the holder of the mortgage may foreclose on the mobile home if the mortgage note is not paid. You should have a lawyer review the complaint or court file to make certain that your aunt has not been personally sued. Good luck.
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