Preview
Filing # 198207111 E-Filed 05/13/2024 04:52:23 PM
IN THE CIRCUIT COURT OF THE 19™ JUDICIAL CIRCUIT,
IN AND FOR ST LUCIE COUNTY, FLORIDA
CASE NO. 562024CA000841AXXXHC
JUSTIN SAPP,
Plaintiff,
Vv.
PORT ST. LUCIE PROPERTIES, INC.,
Defendant.
/
COMPLAINT
COMES NOW, the Plaintiff, JUSTIN SAPP, by and through the Undersigned Counsel,
hereby sue the Defendant, PORT ST. LUCIE PROPERTIES, INC. and alleges as follows:
ALLEGATIONS COMMON TO ALL COUNTS
This is an action for accounting and damages in excess of $50,000.00.
Plaintiff is sui juris and residents of St. Lucie County, Florida.
The Defendant is a Florida Corporation conducting business in St. Lucie County, Florida.
At all times material hereto, the Defendant was engaged in the business of constructing
residential homes.
5 All conditions precedent to the maintenance of this action have been met or waived.
6 Plaintiffs are the owners of real property located at 5175 NW Rugby Lane, Port St. Lucie,
Florida, 34983. (the “Subject Property”)
7 On or about February 28, 2023, Plaintiff and the Defendant entered into a contract for the
Defendant to build a home upon the Subject Property. (the “Construction Contract”) A copy of the
Construction Contract is attached as Exhibit “A”.
8 To pay for Defendant’s services under the Construction Contract, Plaintiff obtained a
Construction Loan from Seacoast National Bank. (the “Seacoast Loan”)
9 Upon the Seacoast Loan closing, the Defendant received Thirty-Seven Thousand Six
Hundred Ninety-Two Dollars and 65/100 ($37,692.65) pursuant to the Construction Contract.
10. On or about March 27, 2023, the Plaintiff paid the Defendant Six Thousand Six Hundred
Ten Dollars ($6,610) pursuant to the Construction Contract.
11. The Defendant received additional funds from the Defendant and or the Seacoast Loan.
12. Defendant has retained all funds received by Plaintiff and/or the Seacoast Loan.
13. The Plaintiff is required to pay interest on the funds paid by the Seacoast Loan to the
Defendant.
14. The Plaintiff is required to repay the balance of the Seacoast Loan, including the loan
proceeds disbursed to the Defendant.
15. To date, the Defendant has failed to commence construction of the home as required by the
Construction Contract.
16. The Defendant failed to secure a single permit for the construction of the home upon the
Subject Property.
17. On July 20, 2023, the Plaintiff, through counsel of Fee, Yates, & Fee, PLLC notified the
Defendant it was in default of the Construction Contract. A copy of this notice is attached hereto
as Exhibit “C”.
18. On December 8, 2023, a second notice of breach of the Construction Contract was sent to
the Defendant, a copy of which is attached hereto as Exhibit “D”.
19. As of the date of filing this Complaint, the Defendant has failed to cure its breach of the
Construction Contract.
20. Although the Defendant received loan proceeds from the Seacoast Loan and direct payment
from the Plaintiff, the Defendant has not performed under the Construction Contact.
21. Paragraph 21 of the Construction Contract provides for prevailing party attorney’s fees for
litigation regarding the Construction Contract.
COUNT I: BREACH OF CONTRACT
22. Plaintiffs adopt and re-allege paragraphs 1-21.
23 The Construction Contract is a binding contract between the Plaintiff and the Defendant.
24, The Defendant breached the Construction Contract.
25 As a result of the Defendant’s breach of the Contact, the Plaintiff has incurred damages
including, but not limited to: the costs to hire a contractor to improve the Subject Property, various
fees and interests under the Seacoast Loan, legal expenses, and increased construction costs.
26. The Plaintiff
has retained the undersigned counsel and is required to pay legal fees to bring
this action, for which Defendant shall be responsible pursuant to the Construction Contact.
WHEREFORE, the Plaintiff requests this court enter judgment against the Defendant for
all damages, including reimbursement for Plaintiff's legal fees and expenses, caused by the
Defendant’s breach of the Construction Contract.
COUNT Il: VIOLATION OF FLORIDA DECEPTIVE AND UNFAIR TRADE
PRACTICES ACT
27. Plaintiffs adopt and re-allege paragraphs 1- 21 herein.
28, Defendant’s actions constitute a deceptive act.
29, Defendant’s actions constitute an unfair practice.
30. As evidence of the Defendant’s deceptive acts and unfair practices, but in no way limiting
same, Defendant has violated §713.345(1)(a) by not applying the money received by the Plaintiff
and/or the Seacoast Loan to construct the home upon the Plaintiffs’ Property.
31. As evidence of the Defendant’s deceptive acts and unfair practices, but in no way limiting
same, §713.235(1)(c), Florida Statues, states as follows: “A permissive inference that a person
knowingly and intentionally misapplied construction funds in violation of this subsection is created
when a valid lien has been recorded against the property of an owner for labor, services, or
materials; the person who ordered the labor, services, or materials has received sufficient funds to
pay for such labor, services, or materials; and the person has failed, for a period of at least 45 days
from receipt of the funds, to remit sufficient funds to pay for such labor, services, or materials,
except for funds withheld pursuant to paragraph (a)”.
32. Pursuant to Fl. Stat. 489.126(4)(a), “The required intent to prove a criminal violation may
be shown to exist at the time that the contractor appropriated the money to his or her own use and
is not required to be proven to exist at the time of taking the money from the owner or at the time
the owner makes a payment to the contractor.” (emphasis added)
33. Through Defendant’s actions, a permissive inference is had that the Defendants actions
were not only deceptive and unfair, but were also criminal in nature.
34. Defendant’s deceptive and unfair trade acts are not limited to his interactions with the
Plaintiff.
35. The Defendant’s failure to pay the appropriate subcontractors and complete home
construction projects has resulted in 87 separate properties becoming encumbered with mechanic’s
liens totaling more than Three Million Dollars ($3,000,000.00)'.
36. As aresult of the Defendant’s deceptive and unfair trade practices, the Plaintiff
has incurred
damages.
+ https://www.wptv.com/news/local-news/investigations/homeowners-blame-homebuilder-for-allegedly-failing-
to-pay-millions-to-contractors
37. The Defendant is required to reimburse the Plaintiffs for their attorney’s fees and costs to
prosecute this matter.
WHEREFORE, the Plaintiffs respectfully request this honorable court to enter judgment
against the Defendant in favor of the Plaintiffs in the amount of damages incurred, reimbursement
of the Plaintiffs attorney’s fees and costs, and any other relief the Court deems necessary to do
justice among the parties.
COUNT Ill: ACCOUNTING
38. Plaintiff reallege paragraphs 1-21 herein.
39. Plaintiff requires documentation to determine the value of work performed by Defendant,
if any, to ascertain the Plaintiff's damages.
40. Plaintiff requires documentation to determine how the monies received by the Defendant
from the Plaintiffs or the Seacoast Loan were allocated.
Al. The Plaintiff lacks any other adequate remedy to obtain the information requested in this
Count.
WHEREFORE, Plaintiffs demand judgment for an Accounting from the Defendant, and any
other relief necessary to do justice among the parties.
Respectfully submitted,
THE LAW OFFICES OF TRAVIS R. WALKER, P.A.
By: /s/ Scott R. Harlowe
Scott R. Harlowe, Esq.
Florida Bar No. 0010415
1100 SE Federal Highway
Stuart, Florida 34994
Telephone: (772) 708-0952
service@traviswalkerlaw.com
scott.harlowe@traviswalkerlaw.com
Attorney for Plaintiffs
5
dotloop signature verification:
PORT ST. LUCIE PROPERTIES, INC.
CONTRACTOR #: CBC 1263072
PURCHASE AND CONSTRUCTION CONTRACT
SELLER/BUILDER: PORT ST. LUCIE PROPERTIES, INC.
2690 SW Edgarce Street, Port St Lucie FL 34953
02/28/2023
Date:
PURCHASER/BUYER: Justin Sapp
5447 NW Milner Drive
Current Address:
34983 dot ed
Port saint lucie State:_FL Zip code:
City:
Email: justinc1584@gmail.com
Phone: 772-812-0874
3420-741-0041-000-4
PROPERTY: Parcel ID:
(Hereinafter referred to as “lot” or “Property”)
5175 NW Rugby Drive City PSL Zip 34983 &
Property Address: SE RTEST
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HOME DESCRIPTION: Model:
WITNESSETH;
ENTS TO BE CONSTRUCTED ON
1. PURCHASE AND PAYMENT SCHEDULE OR IMPROVEM
THE PROPERTY:
$ 317,951
Builder for work & material
Total Sales Price to be paid by Purchaser/Buyer to Seller/
$293,500
Base Price
$13,225
Prep, Fill & Clear (Including Culvert)
$11,226
Extras from Plan Appointment
$0
|e
Extras from Color Appointment
$|
0
Miscellaneous Costs
of contract date $1,000
Initial Deposit issued by Purchaser/Buyer to Seller/Builder within 3 days
$4,000
of signed Prelim
Additional deposit to be delivered to Port Saint Lucie Properties within 3 days
Deposit Information: Name: Port Saint Lucie Properties, Inc.
g i
Address: 2690 SW Edgarce Street, Port St Lucie FL 34953 aasioop verte
Phone: (772) 336-0050
eseesees $312,951
TOTAL BALANCE OF PURCHASE PRICE DUE AT CLOSING........00+1eeree
pro-rations and
Due in locally drawn bank CASHIER’S CHECK OR WIRE TRANSFER (subject to closing
adjusted for any other extras, upgrades, or change orders)
$ 47,693
Builder to receive 15% at closing less any deposits already given by the Purchaser/Buyer.
4% commission paid out at closing on the base price of home. $293,500 amount $11,740
4% paid to Baron Real Estate. (See additional terms.)
amount
7% commission paid out at closing on the base price of home.
(See additional terms.)
4% paid to Baron Real Estate and 3% to co-broke:
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PSLP Construction Contract V.01.10.23 Purchaser/Buyer Initials. &.
Bros Initials, Seller /Builder nae 00 |
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PORT ST. LUCIE PROPERTIES, INC.
CONTRACTOR #: CBC 1263072
CT
PURCHASE AND CONSTRUCTION CONTRA
LOT
2. PREPARATION OF PURCHASER/BUYER’S
to order all lot preparation needed and bill the same
The Purchaser/Buyer authorizes the Seller/Builder the
g and fill. Cost o: f lot preparation may be added to
to Purchaser/Buyer including but not limited to all gradin
may occur at time of lot preparation and will be billed
mortgage or paid outside of closing. Addition: al costs
sible for any additional costs. Should
directly to the Purchaser/Buyer. Purchaser/Bur yer is respon
rm t he work does not have an available public water
Purchaser/Buyer’s lot on which Seller/Builder is to perfo
th an such work shall be done by a Sub-Contractor
supply and should well drilling be necessary to supply water
responsibility for the quantity or quality of water
and Seller/Builder does not warrant and shall have no
available to Purchaser/Buyer.
3. DISTURBANCE OF NATURAL GROWTH.
vegetation from Purchaser/Buyer’s lot due to
Seller/Builder may find it necessary to remove trees or
access for heavy equi! pment. Seller/Builder will not
house placement, set-back and/or utilities requirements or
growth patterns. Seller/Builder is not responsible
be responsible for any loss caused by dist urbance of natural
after construction.
for damage, death or destruction of any vegetation during or
4, FINANCING
for by the Purchaser/Buyer directly
Tf ap} plicable, all financing costs and interest charges are to be paid
uction 0 f this project. In the event the
to the lending institution which has granted the loan for the constr
ion, all deposit money shall be returned to
Purchaser/Buyer is unable to ob tain financing from a lending institut
ive. survey ect., actually incurred by
the Purchaser/Buyer less any previously agreed upon expenses,
d from this agreement without further
Seller/Builder. Upon return of said deposit both parties sh all be release
obtaining approval of a loan
obligation be tween them. This Contract is contingent on the Purchaser/Buyer
t (being the date first listed above) and
(“Loan Approval”) within 30 days after the Effective Date of this contrac
uilder within 45 days.
the closing of the loan taking place and payment of the first draw to Seller/B
initial deposit.
Purchaser/Buyer will make an application within 5 days after the date of
5. COMMENCEMENT AND COMPLETION OF CONSTRUCTION
to obtain all permits and
Purchaser/Buyer shall execute all documents required by Seller/Builder
thereafter to enable Seller/Builder to
approvals to construct the Home and shall cooperate witl h Seller/Builder
complete all construction required hereunder.
permit.
a) Seller/Builder shall commence construction following the issuance of the building
like manner.
Seller/Builder agrees that all construction work shall be done in a good and workman
risk insurance
b) Unless otherwise stated in this Agreement, Seller/Builder shall provide builders
all building
coverage on the Property during the entire term of construction, and shall procure
permits.
will make certain selections of
c) Purchaser/Buyer acknowledges that Purchaser/Buyer has made or
of the
paint, tile, carpets, cabinets and appliances. The Seller/Builder will complete construction
subject to the
improvements using the selections made by the Purchaser/Buyer, provided and
of the Home,
understanding and agreement of the Purchaser/Buyer, that in the course of construction
iz,
Purchaser/Buyer Initials ee Initials Seller /Builder Initials pi
PSLP Construction Contract V.01.10.23
dotioop verified dstioop verted
dotloop signature verification:
PORT ST. LUCIE PROPERTIES, INC.
CONTRACTOR #: CBC 1263072
CT
PURCHASE AND CONSTRUCTION CONTRA
ble or req uired by governmental authorities
certain changes, deviations or omissions may be desira
ions. Any such changes, deviations or
having jurisdiction of the Property, the Home, job condit
do not materially affect the size or value of
omissions are hereby authorized, provided said changes
of paint, tile, cabinets and appliances to be
the Home. Certain items and improvements, such as color
s by the manufacturer and subject to
furnished by the Seller/Builder, are subject to design change
be shown to
shadings in col or and graduations, and may vary from samples that may
make subs titutions of materials or
Purchaser/Buyer. Seller/Builder expressly reserves the right to
ed such substitutions are substantially equal
products in the construction of th e improvements, provid
. If Seller/Builder fails to include any selection
or superior to those selected by the Purchaser/Buyer
which has been ordered by the Purchaser/Buyer, Seller/Build
er’s sole liability shall be to deduct the
the Total Purchase Price at
cost of any su ch selection, less the value of any substituted item, from
closing.
or features listing attached hereto
qd) The Home shall include all items enumerated in the Addendum
and made a part hereof.
led closing or such other time as Seller/Builder
e) Within the five (5) day period preceding the schedu
will be given an opportunity
specifies after substantial completion of construction, Purchaser/Buyer
the Prope: rty with Seller/Builder’s
on the date and at the time scheduled by Seller/Builder, to inspect
ion statement (“Punch List”) listing
representative. At that time, Purchaser/Buyer will sign an inspect
discovers. If any item listed is
any defects in workmanship or materials which Purchaser/Buyer
opinion (applying construction
actually defective in workmanship or materials in Seller/Builder’s
Seller/Builder will be
standards applicable in St. Lucie County, Florida for similar property),
of time before or after
obligated to correct those defects at its cost within a reasonable period
deferring the closing, nor
closing, but Seller/Builder’s obligation to correct will not be grounds for
closing funds will be permitted.
for imposing any condition on closing. No escrows or hold backs of
on the date and time
If Purchaser/Buyer fails to exercise this right to a pre-closing inspections
d to reschedule an
scheduled, or refuses to sign the Punch List, Seller/Builder will not be obligate
the right of
inspection prior to closing and Purchaser/Buyer will be deemed to have waived
on and Purchaser/Buyer
inspection. Purchaser/Buyer agrees to accept the Home in its “as is” conditi
ship or materials
shall be conclusively presumed to have waived all objections to defects in workman
of any warranties
other than as stated on the Punchlist, however, this shall not constitute a waiver
edges that the
provided to Purchaser/Buyer under this Agreement. Purchaser/Buyer hereby acknowl
advertising
Home and Property may be photographed for Seller/Builder advertising and/or general
uilder and its
purposes by affiliates of the Seller/Builder. Purchaser/Buyer hereby grants Seller/B
ng purposes. This
affiliates the right to continue to use photographs of the Home for advertisi
paragraph shall survive the closing of this Agreement.
EMENTS
FOR REASONS OF SAFETY, AND TO COMPLY WITH INSURANCE REQUIR
AGENT OF
IMPOSED ON THE BUILDER, NEITHER PURCHASER/BUYER NOR ANY
PURCHASER/BUYER SHALL BE PERMITTED TO ENTER UPON THE PROPERTY
UNLESS ACCOMPANIED BY A REPRESENTATIVE OF THE BUILDER UNTIL AFTER
CLOSING.
3
Purchaser/Buyer Initials g p63 Initials Seller /Builder Initials MM
2
PSLP Construction Contract V.01.10.23
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dotloop signature verification:
PORT ST. LUCIE PROPERTIES, INC.
CONTRACTOR #: CBC 1263072
PURCHASE AND CONSTRUCTION CONTRACT
g) Purchas: er/Buyer represents and warrants to Seller/Builder that
Purchaser/Buyer is the fee simple
Purchaser/Buyer
owner of the Property upon which the Home is being constructed and
ed to perform any investigation
acknowledges that Seller/Builder has not agreed to and is not obligat
such Property, its soil, subsurface
or due diligence evaluation of any type whatsoever regarding the
conditions, or its fitness for construction.
OBLIGATION TO MAKE TIMELY SELECTIONS
6. PURCHASER/BUYER’S
but not limited to tile, carpets,
a) Purchaser/Buyer shall have the right to select certain items, including
cabinets, appliances, col or of paint, etc. Purchaser/Buyer shall be require
d to make timely selections
. The Seller/Builder shall
as to not interfere with the construction schedule of the Seller/Builder
ons. Failure of Purchaser/Buyer to
notify the Purchaser/Buyer of the time required for such selecti
after the time
make and notify Seller/Builder of the selections within a ten (10) day period
by the Purchaser/Buyer
designated by the Seller/Builder for any selection shall constitute a default
selections, it shall be a
under this Agreement. If the Purchaser/Buyer fails or refuses to timely make
that Purchaser/Buyer shall
waiver of the right to do so thereafter and Purchaser/Buyer acknowledges
the Purchaser/Buyer’s
be fully bound by any selection made by the Seller/Builder as a result of
upon which
failure to do so, and any such selections by the Seller/Builder shall not be a basis
in full o r seek any monetary
Purchaser/Buyer may terminate this Agreement or fail to make payment
adjustment relating to any such selection.
period specified by
b) In the event the Purchaser/Buyer fails to make a selection within the time
to either declare such
Seller/Builder, the Seller/Builder shall have the right, in its sole discretion
additional
failure a default of this Agreement by the Purchaser/Buyer or give the Purchaser/Buyer
time is granted,
time by written notice within which to make the selections, provided, if additional
d by an amount equal
the purchase price for the Home and Property improvements shall be increase
and Property
to 1.5% per month of the unpaid balance of the total purchase price of the Home
parties
improvements, pro-rated for each additional day beyond the designated time period. The
additional
acknowledge that the Seller/Builder is not obligated to provide the Purchaser/Buyer any
one or
time within which to make Purchaser/Buyer’s selections and Seller/Builder’s granting of
more extensions shall not be deemed a waiver of Seller/Builder’s right to thereafter declare
s within
Purchaser/Buyer in default of this Agreement if Purchaser/Buyer fails to make the selection
the additional time agreed to.
r/Buyer to enable
c) In the event Seller/Builder provides or mails information to Purchase
Purchaser/Buyer to make selections, Purchaser/Buyer agrees to make such selections and deliver
by the
them to Seller/Builder within ten (10) days from the date such information was sent or mailed
Seller/Builder.
be
d) The Purchaser/Buyer understands and agrees that any request for a change in the selections shall
the
made at the sole discretion of the Seller/Builder, and if approved by the Seller/Builder,
be
Purchaser/Buyer shall be assessed a change order fee of $250.00 per change. All changes shall
agreed upon and priced and Seller/Builder shall have the option to require payment at the time the
changes are ordered.
4 NU
PSLP Construction Contract V.01.10.23 Purchaser/Buyer Initials Initials, Seller /Builder Initials 9
datioop verified dotioop verified
dotloop signature verification:
PORT ST. LUCIE PROPERTIES, INC.
CONTRACTOR #: CBC 1263072
PURCHASE AND CONSTRUCTION CONTRACT
¢) No change in the Plans or Specifications shall be binding on the Seller/Builder unless evidenced by a
Change Order that is in writing and signed by both the Purchaser/Buyer and Seller/Builder.
7. CONSTRUCTION LIEN DISCLOSURE
ACCORDING TO FLORIDA’S CONSTRUCTION LIEN LAW (SECTIONS 713.001-713.37,
FLORIDA STATUTES), THOSE WHO WORK ON YOUR PROPERTY OR PROVIDE MATERIALS
AND ARE NOT PAID IN FULL HAVE A RIGHT TO ENFORCE THEIR CLAIM FOR PAYMENT
AGAINST YOUR PROPERTY. IF YOUR CONTRACTOR OR A SUBCONTRACTOR FAILS TO PAY
SUBCONTRACTORS, SUB-SUBCONTRACTORS, OR MATERIAL SUPPLIERS, THE PEOPLE
WHO ARE OWED MONEY MAY LOOK TO YOUR PROPERTY FOR PAYMENT, EVEN IF YOU
HAVE ALREADY PAID YOUR CONTRACTOR IN FULL. IF YOU FAIL TO PAY YOUR
CONTRACTOR, YOUR CONTRACTOR MAY ALSO HAVE A LIEN ON YOUR PROPERTY. THIS
MEANS IF A LIEN IS FILED YOUR PROPERTY COULD BE SOLD AGAINST YOUR WILL TO
PAY FOR LABOR, MATERIALS, OR OTHER SERVICES THAT YOUR CONTRACTOR OR A
SUBCONTRACTOR MAY HAVE FAILED TO PAY. TO PROTECT YOURSELF, YOU SHOULD
STIPULATE IN THIS CONTRACT THAT BEFORE ANY PAYMENT IS MADE, YOUR
CONTRACTOR IS REQUIRED TO PROVIDE YOU WITH A WRITTEN RELEASE OF LIEN FROM
ANY PERSON OR COMPANY THAT HAS PROVIDED TO YOU A “NOTICE TO OWNER”.
FLORIDA’S CONSTRUCTION LIEN LAW IS COMPLEX, AND IT IS RECOMMENDED THAT YOU
CONSULT AN ATTORNEY.
otloop
2/06/23 verified
2:10PM EST
‘RARE-SSL3-UMNS-LAKW
SIGNATURE: |4 SY
): Justin Sapp
Purchaser/Buyer (Print Date:
SIGNATURE:
Purchaser/Buyer (Print): Date:
8. PROGRESS AND PAYMENTS/DRAW SCHEDULE
The balance of the Total Purchase Price due after crediting the deposits specified in Section | of this
Agreement or which are otherwise paid by Purchaser/Buyer to Seller/Builder shall be paid in accordance with
Seller/Builder’s draw schedule (“Draw Schedule”) unless the parties have modified this Agreement by
execution of a mortgage financing addendum in which case the unpaid balance of the Total Purchase Price due
under this Agreement shall be made in accordance with the draw schedule of the financial institution granting
financing for the construction of the Home, provided however, such financial institution’s draw schedule is
subject to approval by the Seller/Builder.
5
PSLP Construction Contract V.01.10.23 Purchaser/Buyer Initials Sree Initials Seller /Builder Initials 9
otioop verified rife
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PORT ST. LUCIE PROPERTIES, INC.
CONTRACTOR #: CBC 1263072
PURCHASE AND CONSTRUCTION CONTRACT
9, FINAL PAYMENT
lending institution to make to the
Purchaser/Buyer shall make to the Seller/Builder, or authorize the
exercising his right of occupancy of the
Seller/Builder, final payment, prior to his taking possession and
t will be dor ne within seven days of the certificate of
premises. Final payment of authorization of final paymen
paid to the Seller/Builder by the
occupancy. In the event this is not done, a penalty of $250 will be
will be listed and signed by both
Purchaser/Buyer for ea ch day final disbursement is delayed. Punch out items
a timely fashion. Pun ch out items will not
Purchaser/Buyer and Seller/Builder, and satisfactorily completed in
constitute a reason for the delay of final disbursement.
10. EXTERIOR IMPROVEMENTS
to 45 feet long. Property will be
The contract price includes 9,000 square feet of sod and driveway up
sodded as seen in attachment “Addendum B”.
11. WARRANTIES
ed in the most recent edition of
Seller/Builder is hereby providing homebuyers with the warranty contain
of this Agreement. That Booklet has
the 2-10 Home Buyers Warranty Booklet, as of the date of the execution
made a part of this purchase
been made available to homebuyers, and is incorporated by reference, and
Bool let
Preview
Filing # 198207111 E-Filed 05/13/2024 04:52:23 PM IN THE CIRCUIT COURT OF THE 19™ JUDICIAL CIRCUIT, IN AND FOR ST LUCIE COUNTY, FLORIDA CASE NO. 562024CA000841AXXXHC JUSTIN SAPP, Plaintiff, Vv. PORT ST. LUCIE PROPERTIES, INC., Defendant. / COMPLAINT COMES NOW, the Plaintiff, JUSTIN SAPP, by and through the Undersigned Counsel, hereby sue the Defendant, PORT ST. LUCIE PROPERTIES, INC. and alleges as follows: ALLEGATIONS COMMON TO ALL COUNTS This is an action for accounting and damages in excess of $50,000.00. Plaintiff is sui juris and residents of St. Lucie County, Florida. The Defendant is a Florida Corporation conducting business in St. Lucie County, Florida. At all times material hereto, the Defendant was engaged in the business of constructing residential homes. 5 All conditions precedent to the maintenance of this action have been met or waived. 6 Plaintiffs are the owners of real property located at 5175 NW Rugby Lane, Port St. Lucie, Florida, 34983. (the “Subject Property”) 7 On or about February 28, 2023, Plaintiff and the Defendant entered into a contract for the Defendant to build a home upon the Subject Property. (the “Construction Contract”) A copy of the Construction Contract is attached as Exhibit “A”. 8 To pay for Defendant’s services under the Construction Contract, Plaintiff obtained a Construction Loan from Seacoast National Bank. (the “Seacoast Loan”) 9 Upon the Seacoast Loan closing, the Defendant received Thirty-Seven Thousand Six Hundred Ninety-Two Dollars and 65/100 ($37,692.65) pursuant to the Construction Contract. 10. On or about March 27, 2023, the Plaintiff paid the Defendant Six Thousand Six Hundred Ten Dollars ($6,610) pursuant to the Construction Contract. 11. The Defendant received additional funds from the Defendant and or the Seacoast Loan. 12. Defendant has retained all funds received by Plaintiff and/or the Seacoast Loan. 13. The Plaintiff is required to pay interest on the funds paid by the Seacoast Loan to the Defendant. 14. The Plaintiff is required to repay the balance of the Seacoast Loan, including the loan proceeds disbursed to the Defendant. 15. To date, the Defendant has failed to commence construction of the home as required by the Construction Contract. 16. The Defendant failed to secure a single permit for the construction of the home upon the Subject Property. 17. On July 20, 2023, the Plaintiff, through counsel of Fee, Yates, & Fee, PLLC notified the Defendant it was in default of the Construction Contract. A copy of this notice is attached hereto as Exhibit “C”. 18. On December 8, 2023, a second notice of breach of the Construction Contract was sent to the Defendant, a copy of which is attached hereto as Exhibit “D”. 19. As of the date of filing this Complaint, the Defendant has failed to cure its breach of the Construction Contract. 20. Although the Defendant received loan proceeds from the Seacoast Loan and direct payment from the Plaintiff, the Defendant has not performed under the Construction Contact. 21. Paragraph 21 of the Construction Contract provides for prevailing party attorney’s fees for litigation regarding the Construction Contract. COUNT I: BREACH OF CONTRACT 22. Plaintiffs adopt and re-allege paragraphs 1-21. 23 The Construction Contract is a binding contract between the Plaintiff and the Defendant. 24, The Defendant breached the Construction Contract. 25 As a result of the Defendant’s breach of the Contact, the Plaintiff has incurred damages including, but not limited to: the costs to hire a contractor to improve the Subject Property, various fees and interests under the Seacoast Loan, legal expenses, and increased construction costs. 26. The Plaintiff has retained the undersigned counsel and is required to pay legal fees to bring this action, for which Defendant shall be responsible pursuant to the Construction Contact. WHEREFORE, the Plaintiff requests this court enter judgment against the Defendant for all damages, including reimbursement for Plaintiff's legal fees and expenses, caused by the Defendant’s breach of the Construction Contract. COUNT Il: VIOLATION OF FLORIDA DECEPTIVE AND UNFAIR TRADE PRACTICES ACT 27. Plaintiffs adopt and re-allege paragraphs 1- 21 herein. 28, Defendant’s actions constitute a deceptive act. 29, Defendant’s actions constitute an unfair practice. 30. As evidence of the Defendant’s deceptive acts and unfair practices, but in no way limiting same, Defendant has violated §713.345(1)(a) by not applying the money received by the Plaintiff and/or the Seacoast Loan to construct the home upon the Plaintiffs’ Property. 31. As evidence of the Defendant’s deceptive acts and unfair practices, but in no way limiting same, §713.235(1)(c), Florida Statues, states as follows: “A permissive inference that a person knowingly and intentionally misapplied construction funds in violation of this subsection is created when a valid lien has been recorded against the property of an owner for labor, services, or materials; the person who ordered the labor, services, or materials has received sufficient funds to pay for such labor, services, or materials; and the person has failed, for a period of at least 45 days from receipt of the funds, to remit sufficient funds to pay for such labor, services, or materials, except for funds withheld pursuant to paragraph (a)”. 32. Pursuant to Fl. Stat. 489.126(4)(a), “The required intent to prove a criminal violation may be shown to exist at the time that the contractor appropriated the money to his or her own use and is not required to be proven to exist at the time of taking the money from the owner or at the time the owner makes a payment to the contractor.” (emphasis added) 33. Through Defendant’s actions, a permissive inference is had that the Defendants actions were not only deceptive and unfair, but were also criminal in nature. 34. Defendant’s deceptive and unfair trade acts are not limited to his interactions with the Plaintiff. 35. The Defendant’s failure to pay the appropriate subcontractors and complete home construction projects has resulted in 87 separate properties becoming encumbered with mechanic’s liens totaling more than Three Million Dollars ($3,000,000.00)'. 36. As aresult of the Defendant’s deceptive and unfair trade practices, the Plaintiff has incurred damages. + https://www.wptv.com/news/local-news/investigations/homeowners-blame-homebuilder-for-allegedly-failing- to-pay-millions-to-contractors 37. The Defendant is required to reimburse the Plaintiffs for their attorney’s fees and costs to prosecute this matter. WHEREFORE, the Plaintiffs respectfully request this honorable court to enter judgment against the Defendant in favor of the Plaintiffs in the amount of damages incurred, reimbursement of the Plaintiffs attorney’s fees and costs, and any other relief the Court deems necessary to do justice among the parties. COUNT Ill: ACCOUNTING 38. Plaintiff reallege paragraphs 1-21 herein. 39. Plaintiff requires documentation to determine the value of work performed by Defendant, if any, to ascertain the Plaintiff's damages. 40. Plaintiff requires documentation to determine how the monies received by the Defendant from the Plaintiffs or the Seacoast Loan were allocated. Al. The Plaintiff lacks any other adequate remedy to obtain the information requested in this Count. WHEREFORE, Plaintiffs demand judgment for an Accounting from the Defendant, and any other relief necessary to do justice among the parties. Respectfully submitted, THE LAW OFFICES OF TRAVIS R. WALKER, P.A. By: /s/ Scott R. Harlowe Scott R. Harlowe, Esq. Florida Bar No. 0010415 1100 SE Federal Highway Stuart, Florida 34994 Telephone: (772) 708-0952 service@traviswalkerlaw.com scott.harlowe@traviswalkerlaw.com Attorney for Plaintiffs 5 dotloop signature verification: PORT ST. LUCIE PROPERTIES, INC. CONTRACTOR #: CBC 1263072 PURCHASE AND CONSTRUCTION CONTRACT SELLER/BUILDER: PORT ST. LUCIE PROPERTIES, INC. 2690 SW Edgarce Street, Port St Lucie FL 34953 02/28/2023 Date: PURCHASER/BUYER: Justin Sapp 5447 NW Milner Drive Current Address: 34983 dot ed Port saint lucie State:_FL Zip code: City: Email: justinc1584@gmail.com Phone: 772-812-0874 3420-741-0041-000-4 PROPERTY: Parcel ID: (Hereinafter referred to as “lot” or “Property”) 5175 NW Rugby Drive City PSL Zip 34983 & Property Address: SE RTEST otloop verified Sunset key HOME DESCRIPTION: Model: WITNESSETH; ENTS TO BE CONSTRUCTED ON 1. PURCHASE AND PAYMENT SCHEDULE OR IMPROVEM THE PROPERTY: $ 317,951 Builder for work & material Total Sales Price to be paid by Purchaser/Buyer to Seller/ $293,500 Base Price $13,225 Prep, Fill & Clear (Including Culvert) $11,226 Extras from Plan Appointment $0 |e Extras from Color Appointment $| 0 Miscellaneous Costs of contract date $1,000 Initial Deposit issued by Purchaser/Buyer to Seller/Builder within 3 days $4,000 of signed Prelim Additional deposit to be delivered to Port Saint Lucie Properties within 3 days Deposit Information: Name: Port Saint Lucie Properties, Inc. g i Address: 2690 SW Edgarce Street, Port St Lucie FL 34953 aasioop verte Phone: (772) 336-0050 eseesees $312,951 TOTAL BALANCE OF PURCHASE PRICE DUE AT CLOSING........00+1eeree pro-rations and Due in locally drawn bank CASHIER’S CHECK OR WIRE TRANSFER (subject to closing adjusted for any other extras, upgrades, or change orders) $ 47,693 Builder to receive 15% at closing less any deposits already given by the Purchaser/Buyer. 4% commission paid out at closing on the base price of home. $293,500 amount $11,740 4% paid to Baron Real Estate. (See additional terms.) amount 7% commission paid out at closing on the base price of home. (See additional terms.) 4% paid to Baron Real Estate and 3% to co-broke: 1 PSLP Construction Contract V.01.10.23 Purchaser/Buyer Initials. &. Bros Initials, Seller /Builder nae 00 | dotoep verted ied dotloop signature verification: PORT ST. LUCIE PROPERTIES, INC. CONTRACTOR #: CBC 1263072 CT PURCHASE AND CONSTRUCTION CONTRA LOT 2. PREPARATION OF PURCHASER/BUYER’S to order all lot preparation needed and bill the same The Purchaser/Buyer authorizes the Seller/Builder the g and fill. Cost o: f lot preparation may be added to to Purchaser/Buyer including but not limited to all gradin may occur at time of lot preparation and will be billed mortgage or paid outside of closing. Addition: al costs sible for any additional costs. Should directly to the Purchaser/Buyer. Purchaser/Bur yer is respon rm t he work does not have an available public water Purchaser/Buyer’s lot on which Seller/Builder is to perfo th an such work shall be done by a Sub-Contractor supply and should well drilling be necessary to supply water responsibility for the quantity or quality of water and Seller/Builder does not warrant and shall have no available to Purchaser/Buyer. 3. DISTURBANCE OF NATURAL GROWTH. vegetation from Purchaser/Buyer’s lot due to Seller/Builder may find it necessary to remove trees or access for heavy equi! pment. Seller/Builder will not house placement, set-back and/or utilities requirements or growth patterns. Seller/Builder is not responsible be responsible for any loss caused by dist urbance of natural after construction. for damage, death or destruction of any vegetation during or 4, FINANCING for by the Purchaser/Buyer directly Tf ap} plicable, all financing costs and interest charges are to be paid uction 0 f this project. In the event the to the lending institution which has granted the loan for the constr ion, all deposit money shall be returned to Purchaser/Buyer is unable to ob tain financing from a lending institut ive. survey ect., actually incurred by the Purchaser/Buyer less any previously agreed upon expenses, d from this agreement without further Seller/Builder. Upon return of said deposit both parties sh all be release obtaining approval of a loan obligation be tween them. This Contract is contingent on the Purchaser/Buyer t (being the date first listed above) and (“Loan Approval”) within 30 days after the Effective Date of this contrac uilder within 45 days. the closing of the loan taking place and payment of the first draw to Seller/B initial deposit. Purchaser/Buyer will make an application within 5 days after the date of 5. COMMENCEMENT AND COMPLETION OF CONSTRUCTION to obtain all permits and Purchaser/Buyer shall execute all documents required by Seller/Builder thereafter to enable Seller/Builder to approvals to construct the Home and shall cooperate witl h Seller/Builder complete all construction required hereunder. permit. a) Seller/Builder shall commence construction following the issuance of the building like manner. Seller/Builder agrees that all construction work shall be done in a good and workman risk insurance b) Unless otherwise stated in this Agreement, Seller/Builder shall provide builders all building coverage on the Property during the entire term of construction, and shall procure permits. will make certain selections of c) Purchaser/Buyer acknowledges that Purchaser/Buyer has made or of the paint, tile, carpets, cabinets and appliances. The Seller/Builder will complete construction subject to the improvements using the selections made by the Purchaser/Buyer, provided and of the Home, understanding and agreement of the Purchaser/Buyer, that in the course of construction iz, Purchaser/Buyer Initials ee Initials Seller /Builder Initials pi PSLP Construction Contract V.01.10.23 dotioop verified dstioop verted dotloop signature verification: PORT ST. LUCIE PROPERTIES, INC. CONTRACTOR #: CBC 1263072 CT PURCHASE AND CONSTRUCTION CONTRA ble or req uired by governmental authorities certain changes, deviations or omissions may be desira ions. Any such changes, deviations or having jurisdiction of the Property, the Home, job condit do not materially affect the size or value of omissions are hereby authorized, provided said changes of paint, tile, cabinets and appliances to be the Home. Certain items and improvements, such as color s by the manufacturer and subject to furnished by the Seller/Builder, are subject to design change be shown to shadings in col or and graduations, and may vary from samples that may make subs titutions of materials or Purchaser/Buyer. Seller/Builder expressly reserves the right to ed such substitutions are substantially equal products in the construction of th e improvements, provid . If Seller/Builder fails to include any selection or superior to those selected by the Purchaser/Buyer which has been ordered by the Purchaser/Buyer, Seller/Build er’s sole liability shall be to deduct the the Total Purchase Price at cost of any su ch selection, less the value of any substituted item, from closing. or features listing attached hereto qd) The Home shall include all items enumerated in the Addendum and made a part hereof. led closing or such other time as Seller/Builder e) Within the five (5) day period preceding the schedu will be given an opportunity specifies after substantial completion of construction, Purchaser/Buyer the Prope: rty with Seller/Builder’s on the date and at the time scheduled by Seller/Builder, to inspect ion statement (“Punch List”) listing representative. At that time, Purchaser/Buyer will sign an inspect discovers. If any item listed is any defects in workmanship or materials which Purchaser/Buyer opinion (applying construction actually defective in workmanship or materials in Seller/Builder’s Seller/Builder will be standards applicable in St. Lucie County, Florida for similar property), of time before or after obligated to correct those defects at its cost within a reasonable period deferring the closing, nor closing, but Seller/Builder’s obligation to correct will not be grounds for closing funds will be permitted. for imposing any condition on closing. No escrows or hold backs of on the date and time If Purchaser/Buyer fails to exercise this right to a pre-closing inspections d to reschedule an scheduled, or refuses to sign the Punch List, Seller/Builder will not be obligate the right of inspection prior to closing and Purchaser/Buyer will be deemed to have waived on and Purchaser/Buyer inspection. Purchaser/Buyer agrees to accept the Home in its “as is” conditi ship or materials shall be conclusively presumed to have waived all objections to defects in workman of any warranties other than as stated on the Punchlist, however, this shall not constitute a waiver edges that the provided to Purchaser/Buyer under this Agreement. Purchaser/Buyer hereby acknowl advertising Home and Property may be photographed for Seller/Builder advertising and/or general uilder and its purposes by affiliates of the Seller/Builder. Purchaser/Buyer hereby grants Seller/B ng purposes. This affiliates the right to continue to use photographs of the Home for advertisi paragraph shall survive the closing of this Agreement. EMENTS FOR REASONS OF SAFETY, AND TO COMPLY WITH INSURANCE REQUIR AGENT OF IMPOSED ON THE BUILDER, NEITHER PURCHASER/BUYER NOR ANY PURCHASER/BUYER SHALL BE PERMITTED TO ENTER UPON THE PROPERTY UNLESS ACCOMPANIED BY A REPRESENTATIVE OF THE BUILDER UNTIL AFTER CLOSING. 3 Purchaser/Buyer Initials g p63 Initials Seller /Builder Initials MM 2 PSLP Construction Contract V.01.10.23 datioap verfed datioop dotloop signature verification: PORT ST. LUCIE PROPERTIES, INC. CONTRACTOR #: CBC 1263072 PURCHASE AND CONSTRUCTION CONTRACT g) Purchas: er/Buyer represents and warrants to Seller/Builder that Purchaser/Buyer is the fee simple Purchaser/Buyer owner of the Property upon which the Home is being constructed and ed to perform any investigation acknowledges that Seller/Builder has not agreed to and is not obligat such Property, its soil, subsurface or due diligence evaluation of any type whatsoever regarding the conditions, or its fitness for construction. OBLIGATION TO MAKE TIMELY SELECTIONS 6. PURCHASER/BUYER’S but not limited to tile, carpets, a) Purchaser/Buyer shall have the right to select certain items, including cabinets, appliances, col or of paint, etc. Purchaser/Buyer shall be require d to make timely selections . The Seller/Builder shall as to not interfere with the construction schedule of the Seller/Builder ons. Failure of Purchaser/Buyer to notify the Purchaser/Buyer of the time required for such selecti after the time make and notify Seller/Builder of the selections within a ten (10) day period by the Purchaser/Buyer designated by the Seller/Builder for any selection shall constitute a default selections, it shall be a under this Agreement. If the Purchaser/Buyer fails or refuses to timely make that Purchaser/Buyer shall waiver of the right to do so thereafter and Purchaser/Buyer acknowledges the Purchaser/Buyer’s be fully bound by any selection made by the Seller/Builder as a result of upon which failure to do so, and any such selections by the Seller/Builder shall not be a basis in full o r seek any monetary Purchaser/Buyer may terminate this Agreement or fail to make payment adjustment relating to any such selection. period specified by b) In the event the Purchaser/Buyer fails to make a selection within the time to either declare such Seller/Builder, the Seller/Builder shall have the right, in its sole discretion additional failure a default of this Agreement by the Purchaser/Buyer or give the Purchaser/Buyer time is granted, time by written notice within which to make the selections, provided, if additional d by an amount equal the purchase price for the Home and Property improvements shall be increase and Property to 1.5% per month of the unpaid balance of the total purchase price of the Home parties improvements, pro-rated for each additional day beyond the designated time period. The additional acknowledge that the Seller/Builder is not obligated to provide the Purchaser/Buyer any one or time within which to make Purchaser/Buyer’s selections and Seller/Builder’s granting of more extensions shall not be deemed a waiver of Seller/Builder’s right to thereafter declare s within Purchaser/Buyer in default of this Agreement if Purchaser/Buyer fails to make the selection the additional time agreed to. r/Buyer to enable c) In the event Seller/Builder provides or mails information to Purchase Purchaser/Buyer to make selections, Purchaser/Buyer agrees to make such selections and deliver by the them to Seller/Builder within ten (10) days from the date such information was sent or mailed Seller/Builder. be d) The Purchaser/Buyer understands and agrees that any request for a change in the selections shall the made at the sole discretion of the Seller/Builder, and if approved by the Seller/Builder, be Purchaser/Buyer shall be assessed a change order fee of $250.00 per change. All changes shall agreed upon and priced and Seller/Builder shall have the option to require payment at the time the changes are ordered. 4 NU PSLP Construction Contract V.01.10.23 Purchaser/Buyer Initials Initials, Seller /Builder Initials 9 datioop verified dotioop verified dotloop signature verification: PORT ST. LUCIE PROPERTIES, INC. CONTRACTOR #: CBC 1263072 PURCHASE AND CONSTRUCTION CONTRACT ¢) No change in the Plans or Specifications shall be binding on the Seller/Builder unless evidenced by a Change Order that is in writing and signed by both the Purchaser/Buyer and Seller/Builder. 7. CONSTRUCTION LIEN DISCLOSURE ACCORDING TO FLORIDA’S CONSTRUCTION LIEN LAW (SECTIONS 713.001-713.37, FLORIDA STATUTES), THOSE WHO WORK ON YOUR PROPERTY OR PROVIDE MATERIALS AND ARE NOT PAID IN FULL HAVE A RIGHT TO ENFORCE THEIR CLAIM FOR PAYMENT AGAINST YOUR PROPERTY. IF YOUR CONTRACTOR OR A SUBCONTRACTOR FAILS TO PAY SUBCONTRACTORS, SUB-SUBCONTRACTORS, OR MATERIAL SUPPLIERS, THE PEOPLE WHO ARE OWED MONEY MAY LOOK TO YOUR PROPERTY FOR PAYMENT, EVEN IF YOU HAVE ALREADY PAID YOUR CONTRACTOR IN FULL. IF YOU FAIL TO PAY YOUR CONTRACTOR, YOUR CONTRACTOR MAY ALSO HAVE A LIEN ON YOUR PROPERTY. THIS MEANS IF A LIEN IS FILED YOUR PROPERTY COULD BE SOLD AGAINST YOUR WILL TO PAY FOR LABOR, MATERIALS, OR OTHER SERVICES THAT YOUR CONTRACTOR OR A SUBCONTRACTOR MAY HAVE FAILED TO PAY. TO PROTECT YOURSELF, YOU SHOULD STIPULATE IN THIS CONTRACT THAT BEFORE ANY PAYMENT IS MADE, YOUR CONTRACTOR IS REQUIRED TO PROVIDE YOU WITH A WRITTEN RELEASE OF LIEN FROM ANY PERSON OR COMPANY THAT HAS PROVIDED TO YOU A “NOTICE TO OWNER”. FLORIDA’S CONSTRUCTION LIEN LAW IS COMPLEX, AND IT IS RECOMMENDED THAT YOU CONSULT AN ATTORNEY. otloop 2/06/23 verified 2:10PM EST ‘RARE-SSL3-UMNS-LAKW SIGNATURE: |4 SY ): Justin Sapp Purchaser/Buyer (Print Date: SIGNATURE: Purchaser/Buyer (Print): Date: 8. PROGRESS AND PAYMENTS/DRAW SCHEDULE The balance of the Total Purchase Price due after crediting the deposits specified in Section | of this Agreement or which are otherwise paid by Purchaser/Buyer to Seller/Builder shall be paid in accordance with Seller/Builder’s draw schedule (“Draw Schedule”) unless the parties have modified this Agreement by execution of a mortgage financing addendum in which case the unpaid balance of the Total Purchase Price due under this Agreement shall be made in accordance with the draw schedule of the financial institution granting financing for the construction of the Home, provided however, such financial institution’s draw schedule is subject to approval by the Seller/Builder. 5 PSLP Construction Contract V.01.10.23 Purchaser/Buyer Initials Sree Initials Seller /Builder Initials 9 otioop verified rife dotloop signature verification: PORT ST. LUCIE PROPERTIES, INC. CONTRACTOR #: CBC 1263072 PURCHASE AND CONSTRUCTION CONTRACT 9, FINAL PAYMENT lending institution to make to the Purchaser/Buyer shall make to the Seller/Builder, or authorize the exercising his right of occupancy of the Seller/Builder, final payment, prior to his taking possession and t will be dor ne within seven days of the certificate of premises. Final payment of authorization of final paymen paid to the Seller/Builder by the occupancy. In the event this is not done, a penalty of $250 will be will be listed and signed by both Purchaser/Buyer for ea ch day final disbursement is delayed. Punch out items a timely fashion. Pun ch out items will not Purchaser/Buyer and Seller/Builder, and satisfactorily completed in constitute a reason for the delay of final disbursement. 10. EXTERIOR IMPROVEMENTS to 45 feet long. Property will be The contract price includes 9,000 square feet of sod and driveway up sodded as seen in attachment “Addendum B”. 11. WARRANTIES ed in the most recent edition of Seller/Builder is hereby providing homebuyers with the warranty contain of this Agreement. That Booklet has the 2-10 Home Buyers Warranty Booklet, as of the date of the execution made a part of this purchase been made available to homebuyers, and is incorporated by reference, and Bool let